In this essay am going to agree that the government should give subsides to car manufactures. In recent days there is a lot happening regarding car manufacturing industries.We see business being taken over by other shareholders overseas and the common news which we hear every day that is cutting jobs. If the government does not provide the automotive industry with enough assistance, the companies will easily go to liquidation. In my opinion this stops the outside ...view middle of the document...
According to economics outside business can boost the business of the whole nation.
The prime minister does not intend in any way to assist car industry which is good and bad. Looking at it, we see quiet a lot of outside investors chipping in when a company is broke. This however does not look good especially a first world country like Australia. The Productivity Commission has rejected calls for extra federal assistance for Toyota's car-manufacturing operations and called for all Australian government subsidies to carmakers to end by 2020(Maher, 2014).This indicates that by 2020 Toyota will be no more and it means jobs are going to be lost too. Mercury, 2014, said that by 2017,2500 jobs would be cut, and Toyota will quit doing business with Australia. It is reported that Toyota has hold talks with some foreign investors who are willing to take over the industry in Australia.
Another 6,600nmanufacturing jobs are thought to be axed by May, 2016(Mercury, 2014) Holden is an Australian brand and it is shutting down its business in Australia due to scarcity and economic issues. A reporter from the adviser news, 2017, said that there were potential buyers from unnamed country who were secretly having talks with Holden to take over until 2017.