Obama administration makes a mistake yes or no?

So, I recently asked about Obama administration and if it had gotten rid of rid of car dealerships I got a good answer that helped back up Obama's administration, "GM and Chrysler dealerships were already closing based on sales, consumer satisfaction and profitability." and if I could ever have a doubt, they even included that "President Obama signed a law in December that required the automakers to offer binding arbitration to dealers whose outlets were being closed....GM has reinstated about 2/3 of their dealerships, and Chrysler is also offering new dealerships to those who requested arbitration." But, the whole industry was having problems which were big issues, the government didn't even look at these issues and just had them close down the businesses, chosen by GM and Chrysler, it takes +/- 1 million U.S. currency to start up a dealership, and they completely lost all of that money, and then when President Obama--according to their source--reinstated them, isn't that a waste of money to close down dealerships, have thousands of people lose their jobs and then use government money to just reinstate 2/3 of it? I'm trying to think this through, can anyone prove me wrong or add something to this?