Forty-one percent (41%) of Americans think the federal government should provide tax incentives for anyone who buys a car from a U.S. auto company, as two of the Big Three automakers talk merger to survive in the current economic climate.

Thirty-two percent oppose the tax incentives, and 25% are undecided.

Investors are less supportive of tax incentives than non-investors. Men are closely divided on the question, while women favor incentives by 15 points.

Forty-seven percent (47%) of Democrats like incentives, compared to 39% of Republicans and 37% of unaffiliated voters.

Eighty-three percent (83%) say the U.S. auto industry is at least somewhat important to the financial stability of the overall economy, with 38% saying it is Very important. Only one percent (1%) say it is not at all important.

In a survey in March 2007, 49% said the auto industry was Very important to the U.S. economy. That number had fallen to 39% by January of this year.
Eighty-five percent (85%) of investors rate the auto industry at least somewhat important to the overall economy.

Following a 400-point gain on Wall Street, the Rasmussen Investor Index gained five points today to the highest reading in more than three weeks.

Americans are fairly evenly divided on whether the proposed merger of General Motors and Chrysler is good for the automobile industry and by extension good for U.S. consumers.

Twenty-seven percent (27%) say it’s good for the automakers, but 21% disagree. Twenty-five percent (25%) see it as somewhere in between, while 27% aren’t sure.

Similarly, while 24% say the merger would be good for consumers, 23% see it as a bad move and 26% see it somewhere in between. Again, 27% are undecided.

Voters rate the economy as the number one issue in the election and trust Democratic presidential candidate Barack Obama more in this area.

With auto sales down dramatically, the General Motors Corp. is negotiating with Chrysler owner Cerberus Capital Management LP in a bid to take over Chrysler. Both automakers recently have denied rumors of bankruptcy, but Cerberus reportedly wants to get out of the auto business while GM has its eye on Chrysler's $11 billion in cash reserves.

Factory closings and thousands of job layoffs are expected if the deal goes through.

Forty-three percent (43%) say they have been following news stories about the possible GM-Chrysler merger at least somewhat closely. Twenty-one percent (21%) say they have followed it at all.

One-third (33%) of investors say the proposed merger is good for the U.S. auto industry, but 17% disagree. Investors are more closely divided on whether it’s good for American consumers.

Republicans by two-to-one think a merger is good both for the auto industry and consumers, while Democrats are more evenly divided. Unafilliated voters tilt against the merger. But roughly half of all three groups either see the merger as somewhere in between or are undecided about its impact.

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