Rick Wagoner joined General Motors in 1977, at age 24, as an ­analyst in the ­treasurer’s office, and he became the company’s youngest C.E.O. 23 years later. The onetime college basketball player (for Duke Uni­versity’s Blue Devils) hasn’t had an easy tenure. Since Wagoner took the wheel, in 2000, G.M. has endured difficult union negotiations and rapidly lost market share to Toyota. ­Despite G.M.’s extensive cost-­cutting, high gas prices have hurt its sales. In the ­summer, it put its fabled Hummer division on the block, and in September, Wagoner advised Congress that a $25 billion loan would be a “tremendous help” to the industry in meeting tougher fuel-efficiency rules. Here, he talks about the auto industry and investing during a troubled era.

When will Detroit’s fortunes turn around?
When the U.S. economy begins to turn around and resume its traditional rate of growth, the U.S. auto market will follow suit. G.M. has had to take some tough actions to become cost-competitive with foreign manufacturers. We’re dramatically reducing spending on pensions and post-retiree health care starting in 2010, and we’ve aligned our capacity with market demand. We’ve also been moving to revitalize our U.S. car business and grow our crossover business, especially in response to the rapid shift in the sales mix as a result of higher gas prices.

Is it better to buy or to lease?
Given recent developments in the credit markets, the U.S. auto industry seems to be trending back toward consumers purchasing rather than leasing vehicles. For most people, I think buying is going to be the best option. Certainly under some circumstances, they will still find it beneficial to lease, although that will cost more than in the past.

Which clean, renewable ­energies will be the most important to the auto industry?
I’m not sure I can say which one will be the winner. But the U.S. needs to diversify the energy sources it relies on, and G.M. is working on a range of technologies—biofuels like cellulosic ethanol, battery and electric power, and hydrogen fuel cells.

What’s a good next move for an auto professional who’s been laid off?
Employees might find it best to leverage their skills into positions in other industrial, financial, or manufacturing businesses. These industries greatly value the skills that auto-industry professionals offer. And we’re actually adding engineers to work on hybrid systems, advanced batteries, fuel cells, and other cutting-edge technologies.

Which presidential candidate has Detroit’s best interests in mind?
We appreciate the sincere interest that both candidates have shown in the role our industry plays in the country’s economic future.

Will low oil prices ever return?
We’re planning on seeing prices continue at their current levels in the near term and to increase over the midterm—more gradually than they have during the past year.

What will a gallon of gas cost in a year and five years from now?
I wish I knew. If you meet anyone who does, please have them give me a call.