WASHINGTON — President Barack Obama on Saturday cited encouraging signs of an auto industry rebound as he promoted stronger financial rules that he said would help prevent a repeat of the crisis that pushed automakers to the brink.
Senate Democrats have set a test vote Monday on legislation to tighten federal oversight of the financial sector.
The auto industry was one of the biggest casualties of the recession. But after shedding 400,000 jobs in 2008, bailed-out U.S. automakers are rebounding.
“I knew this wasn’t a popular decision, but it was the right thing to do,” Obama said of the government’s intervention.
In his weekly radio and Internet address, Obama said the auto industry is on more solid footing, but it will take more time for the economy to recover from the loss of 8 million jobs. He blamed the downturn on irresponsible risk-taking by Wall Street companies.
In a speech Thursday in New York, Obama argued for new rules to protect consumers and hold financiers accountable. The changes would rein in taxpayer bailouts, bring complex financial dealings into the open and extend new rights and protections to consumers and shareholders.
“That’s how after two very difficult years we’ll not only revive the economy but help to rebuild it stronger than ever before,” he said Saturday.
In the weekly GOP message, Sen. Kay Bailey Hutchison of Texas said Republicans aren’t trying to block the bill but want to make sure it would end bailouts.
The Associated Press
