but celia hatton in beijing tells us g.m.s facing growing competition now from chinese car makers. >> reporter: with names like geely, chery, b.y.d., you might not know they're some of china's top automotive companies, but detroit certainly does. >> these are companies that no one heard of ten years ago that today are getting a lot of international attention. >> reporter: the chinese market is a bright spot on the balance sheets of u.s. auto makers. they're buying american as both a good investment and a status symbol. for the first time ever, g.m. has sold more cars in china than in the u.s. during the first half of this year. more than 1.2 million cars rolled off g.m. lots in china versus less than 1.1 million in the united states. but future demand in untapped markets has foreign and chinese entrepreneurs seeing dollar signs. 64 million vehicles crowded china's streets last year. over 200 million cars will jam on to those roads by 2020. so to meet that demand, domestic companies are embracing the communist government's pus

g.m.hopes the $3.5 billion deal will make it more competitive. the price for americredit: $24.50 a share in cash, a 24% premium over yesterday's close. g.m. says car deals have been left on the table in the last year because buyers couldn't get financing. by adding americredit, it hopes to help buyers with less-than- perfect credit. sub-prime customers buy two of every five cars sold in the u.s. >> tom: g.m. also is busy gearing up for the rollout of its first mass-produced electric car, the chevy volt. many other vehicle makers are also launching electrics, and some cities are getting ready. erika miller checked out new york city's first charging station, and whether it could help spark sales of plug-in vehicles. >> reporter: it's not yet attracting cars, but it sure is attracting attention. this four-foot-tall, thin electric car charger is the first of its kind in new york city. well, that's not exactly true, there's another one on display at the smithsonian cooper hewett museum celebrat

. >> susie: president obama defended his decision to rescue g.m. and chrysler at two campaign-style rallies in michigan today. the president said letting the auto industry fail would have cost up to a million jobs, spreading pain across the country. taxpayers are still expected to lose more than $24 billion on the government's investments, but the president pointed to recent industry profits and 55,000 new auto industry jobs as evidence he made the right call. >> so today, this industry is growing stronger. it's creating new jobs. it's manufacturing the fuel- efficient cars and trucks that will carry us to an energy independent future. you are proving the naysayers wrong, all of you. >> susie: next month, g.m. is expected to file for a new initial public offering of stock, a little more than a year after it emerged from bankruptcy. >> tom: late today, the house of representatives voted to end the federal moratorium on deepwater drilling as long as oil companies meet new safety requirements. the move is an amendment to a broader energy bill working

g.m. to scale back its dealer network. such dramatic and accelerated dealership closings may not have been necessary and underscores the need for treasury to tread very carefully when considering such decisions in the future, unquote, he concluded. i should have pointed out, the begin quote with such dramatic -- continuing on with the article. the report made prompt congressional criticism of the administration's handling of the auto maker bailouts. lawmakers have already complained about the job losses in their districts from dealership closings and the process by which retailers were selected for shutdowns. quote, this sobering report should serve as a wake-up call as to the orchestrations of federal bailouts. republican issa -- republican issa said yesterday in a statement. the government has spend billions on auto assistance under the tarp program, criticized the inspector's audit and said without government aid, both companies faced failure and possible liquidation. the department's a

this was a letter that again repredated my tenure as g.m. in june asking for a reconciliation with city college on various deeds for fields and facilities. there has been a year's worth of e-mail back and forth with city college and also -- also involving some of the -- of the group that is are here today. they discuss the challenge of not having -- having the -- the facility out there not leased in some of the budget challenges of our department and our desire to put out an r.f.q. and things that tom talked about. so, you know, sort of time back -- back to the outreach issue. we came here today, you know, the item proceeded and said look, there are ways in which we need to do better on outreach. this happens to be one where there's -- there's well oaf a year's worth of communication back and for the. while maybe not everybody -- knew exactly what was going on

this was a letter that again repredated my tenure as g.m. in june asking for a reconciliation with city college on various deeds for fields and facilities. there has been a year's worth of e-mail back and forth with city college and also -- a

the government now owns 61% of g.m.e take a closer look now at the state of the auto industry and the broader prospects for manufacturing. micheline maynard is the senior editor of changing gears, a new public radio project focusing on the future of the industrial midwest. she's an author of several books on business and a former reporter for the "new york times." and martin bailey is an economist with the brookings institution. he served as chairman of the council of economic advisers under president clinton. he's also a senior adviser to mckinsey & company working on projects about globalization and productivity. thank you both for being with us. mickey maynard, to you first. the president was talking up the auto industry today. how much has it turned around? >> the auto industry is in a very slow turn around. and you have to think back a year. we had the worse car sales essentially in over a quarter of a century. chrysler had actually shut down its factories while it went through bankruptcy. and thousands upon thousa

america young guys from the suburbs use every spare minute to build their bodies many cannot afford to g.m. . will do for them and it's got one big attraction for young muscovites one of the main idea is that you don't have to pay money it's totally free you can go anywhere you can go to the parks to the schools can find the place to train everywhere in the world and you can't transit of people who also want to train a few. of the fitness tradition was strong in the old soviet union but as moscow has grown places to exercise have become fewer and fewer so these guys have come up with the sure we get all the training be neat because they can work out pretty much anywhere. but you just about r t. and finally of the lacrosse world championships that kicked off financial stay in the u.k. the place that invented the sport as early as a thousand years ago looks set to miss the tournament due to paperwork the american iraq watch t.v. refused to accept u.s. prosperous bots were allowed to travel to england by the u.s. government on the iroquois confederacy documents however most players still lack

experts say a g.m. public offering could be the largest ever domestic i.p.o., bigger than the current record holder, visa. its public offering two years ago almost topped $20 billion. >> tom: disgraced media mogul conrad black is staying in the u.s. for now. a federal judge today ordered him to surrender his passport, nixing his hopes to return to his native canada. black was bailed out of prison wednesday after serving part of a 6.5-year sentence for defrauding investors in his company, hollinger international. that conviction is now being re- examined. the judge wants black to come up with details on his finances before he can travel to toronto. a fragile economic recovery has investors too focused on the worst-case scenario, so says tonight's "market monitor." he's ernie ankrim, senior market advisor for russell investments. he joins us from tacoma, washington. >> thanks, tom. it's my pleasure. >> tom: so why do you think investors are focusing on the pessimism in the market? >> you'd understand with

g.m. says it goes 40 miles on battery power alone, then uses gas to power an electric generator for another 300 miles. general motors began taking orders for the car today on its website. tony disalle, the volt's marketing director, expects the car to electrify the automotive industry. >> the reason why we're so confident about it is that a customer can buy a volt, drive gas and emissions free, save on average-- per our calculations-- about 500 gallons of fuel per year versus a gas-powered only 30-mile-per-gallon vehicle, and not have to sacrifice their day- to-day lifestyle. >> tom: disalle was likely talking about the other electric car, the nissan leaf. unlike the volt, it does not have a gas engine. the leaf will go up to 100 miles on a charge. nissan said today 17,000 people have placed orders so far in the u.s. deliveries start in december. interesting trade nonetheless. consumer stocks really weaker while investors were looking for safety. let's begin with consumer disrediscretionar

g.m. after joint call manufacturing tell ya t is hiring people again and simone is growing up production is nearing pre-crisis levels russia's ministry of industry and trade expects the country's car market to grow by fifteen percent this year and apparently it's thanks the ongoing cash for clunkers program which is boosted sales of the cheapest cause rescuing to about. to the person who wants to buy simply is that car and extend the moves of this program then so be it don't forget that we're still being qualified you know in the combination to the company of the bric countries as an emerging market which means that we're still far from the european level situation a technical level and from the standpoint. the result of this program is simply reflecting the overall. and the disposable income level of the russian population has enough been done for off the last to make it a viable company idol still needs a government support the after was business plan and a strategy is. prepared to leave

ford, g.m., and chrysler did it by updating popular models and scrapping poor sellers.ere in new york, construction workers at the world trade center site have uncovered a piece of history: a wooden ship from the 1700s. archaeologists believe it was buried in a landfill more than 200 years ago. they're busy trying to study and document it before exposure to air and sunlight causes the delicate wood to crumble. and another long-forgotten piece of history has surfaced. a 1914 film called "a thief catcher" in which charlie chaplin makes a cameo as a keystone cop, displaying the mustache and mannerisms of his famous "tramp" character. the film turned up at an antique sale and at this saturday a virginia film festival will show in the public for the first time in perhaps a century. to baseball history now. the u.s. postal service honored the negro leagues today with a pair of stamps. the leagues were formed because black players were barred from playing on white teams. foster was one of their biggest stars. he once won 54 games in a season and went on to found the negro nati

of g.m. k.b. those difficulties related primarily to governance disagreement between our and b.p. i wanted to have an independent c.e.o. not somebody appointed by b.p. who is very close leslie it would be people who worked extremely well together with bob has made a tremendous contribution to communicate b.p. in the early years of the joint venture after about four years our strategies began to diverge and at that point. it was important for the good of the company to have an independent c.e.o. bob unfortunate was caught in the middle but we have an excellent relationship with him and he has done a lot of great things for to b.p. and we look forward to working with him and his or capacity the russian government has reduced the number of candidates in what is set to be the biggest privatization in the country in fifteen years cutting the state were always operator and mortgage agency from the list eleven companies are being prepared for a sale with the aim of raising at least thirty billion dollars to help plug the budget deficit seen argument reports. if you want some of the russi

there are further signs russia's beleaguered car industry has turned the corner g.m. after plans to hire three hundred new employees at the plant by september at the height of the economic crisis the joint venture laid off four hundred employees the companies that are introducing a second production shift thanks to a rebound in demand state programs including cash for clunkers have helped to stabilize the plant. the world's top aluminum producer roussel has restarted operations and its aluminum plant in jamaica the facility was put on hold in two thousand and nine due to the economic crisis and fooling demand the plant is reopening six months earlier than expected in a further sign of recovery in the global metals market resells revenue rose by about thirty percent in the first quarter to reach more than two point three billion dollars. and food prices in russia will be controlled by the government as the drugs create scriptural to just across the country the head of top retailer x five welcomed the move warning some business businessman will try speculative price ris

. >> reporter: in detroit today, president obama got behind the wheel at a g.m. plant to say the economy is still on the right road. >> i have confidence in this economy! we are coming back! ( applause ) >> reporter: ford's c.e.o. alan mulally agrees. you don't see this recovery stalling? >> not at the present time. as we started to recover, we slowed down a little bit, and that's very common for a recovery from a recession. >> reporter: ford, which unveiled the new explorer this week... >> listen. >> reporter: ... just reported a $4.7 billion profit for the past six months, its best in a decade. you think we're still headed in the right direction. >> absolutely, absolutely. we're coming out of a very big hole, but people are starting to feel like we're on the road to recovery. >> reporter: the economy will need to pick up speed to create jobs. at the 2.5% growth rate most economists are now forecasting for the rest of the year, the unemployment rate will remain right where it is. katie. >> couric: anthony, here's a question tonight from facebook: >> reporter: i

that could mean more money to buy american goods that could actually benefit us we've seen how well g.m. has done in china it's one of the only places they're growing they're certainly not in the u.s. that's an example in addition china a stronger china could mean more cheap goods for the united states that could mean that that could help with r. and d. and with new products and that sort of thing could help globally to help growth in these tough times which could in fact benefit america in addition one thing that's really interesting that policymakers say is that this is an example of good policy they say that china has actually done a much better job in dealing with the downturn. then the united states has that china actually put in a much larger percent of g.d.p. and terms of stimulus and it has actually done a better job of phasing out and that this really shows how much more successful they weren't implementing their policies than the fed and ben bernanke and congress has done in implementing policies in the united states which is interesting out that a lot of not for all of the to

products called derivatives that are blamed for helping cause the collapse of financial companies like g.m. lehman brothers but as expected republicans were pretty quick to call out the bill and they even vowed to repeal it didn't we hear that exact same message right after health care passed now president obama is expected to very quickly sign this bill into law maybe even by tomorrow and while some reform is a step in the right direction it's kind of scary even if millions of americans continue to suffer because of the lack of regulation on the banking industry the banks still won the day in many ways with this bill they helped bring down the world's economy and they still get off easy in the end it really makes you wonder what would actually have to happen for real reform. now on wednesday president obama had a closed door meeting to talk about everyone's favorite topic cyber security now while there has been heated debate online about whether or not there even is a cyber war to be fought i think we can say that the topic is one that's starting to demand a lot of attention and a lot of

g.m., ford, chrysler and toyota reported drops of 12% to 14% from may. nissan was off 23%. the u.s. senate paid final respects today to the late robert byrd. the west virginia democrat died monday after 51 years in the senate-- the longest tenure ever. a military honor guard carried his casket up the capitol steps today, past the senator's portrait and into the senate chamber. he lay in repose for six hours-- the first time that has been done since 1959. later, the remains were flown to charleston, west virginia for a memorial service tomorrow. once the ceremonies for senator byrd were over, confirmation hearings resumed for supreme court nominee elena kagan. this time, democrats and republicans called witnesses to make the case for and against kagan. one was lily ledbetter, who lost a high-profile decision on gender bias in pay. congress later changed the law to address her grievance. >> one thing i've heard in observing and watching the hearings of all of elena kagan's responses have been that she would adhere and follow the law, not make the law. she understand what is her respon

if he thought ford was well managed and g.m. was worse manned.you bet but because you were betting both ways didn't matter what the whole market index. is. >> rose: that's it? >> the beauty of it is you can apply the same ideas to doing currencies, fixed income positions, all kinds of other complex stuff that alfred jones never dreamt of. >> rose: because even today you hear constantly financial people talking about i'm going to hedge mzr investment. whatever it might be, whether it's commodities or whatever it might be in. this idea of hedging everything has become part of almost the custom. >> it gives you more freedom. you can express view that something is going to go down as opposed to being restricted to only betting when it goes up. and so you have double the number of opportunities to go out and make money. >> rose: so what's the relevance of hedge funds to what happened in terms of all of the disasters of the subcrime crisis and all of the stories we heard of people having too much leverage, having too much risk and not enough conservati

we are no longer a manufacture based society and you used to work with g.m.r others and they are not coming back. we need education. we need to compete technically. that won't happen overnight t. will take years. and i hate to say this, it will sound -- i don't know what -- but some of the call there's call in saying i captain find a job -- saying i can't find a job. there needs to an better -- more education, a better presentation and they will get that if they have training. i just don't know why we can't combine it in one and say save the money with the war and train our society. it will take a few years that. is the the only way to get out of this mess. guest: well, there is nothing going on in congress right now but job training. that is an interesting suggesti suggestion. but the idea of taking money away to use money that is spent on the war or other things is a popular idea. there are members who are tired of spending money on the war. the latest round congress needs to move in the coming weeks for the war supplemental bill is at minimum $33 billion.

complained about the approach we utilized but we can look at the bottom line, ford never took the money, g.m. paid the money back but what we want them to do is to manufacture smartly and to hire people and create jobs. we have created, this democratic leadership this president, has created the atmosphere for these companies to grow and we want them to grow more. let me just add these one or two points, consumers who have been feeling the pinch we know there's unemployment and right now today, we are fighting to extend unemployment for those hard working americans who have seen their jobs go but need to support their families. let me make it clear, unemployment insurance is not a handout. it is a, if you will, it's a gift coming back or it is an acknowledgment of your hard work. we want to keep you over a bidge, we want to give you a bridge until you get another job. disposable personal income grew by 0.5% in may, by .6% in april and by .4% in may. you can see it's steadily going up. it's steadily going up and this is making a difference. as i clite these last points, congresswoman -- as i c

taking over g.m. and chrysler hasn't helped. taking over the student loan program, taking over the health care system hasn't helped. the stimulus bill has been an abject failure by and large, the company that makes these huge signs to proclaim that barack obama and his policies are the messiah which cost lord only knows how much has helped that company but it hasn't helped the american taxpayer. it hasn't helped small businesses around this country by and large. americaspeakingout gives the american people the opportunity to give us ideas about what they think, what america thinks about what we should be doing now to solve the problems. you see, i'm excited about the so-called tea party movement in this country. i've spoken to many tea party rallies. but, mr. speaker, there's a great misunderstanding, particularly in the press, particularly with my liberal friends, what the tea party is all about. we started a tea party caucus just this week. i was one of the original signers of membership into the tea party caucus. and i've don