The Obama administration’s “Cash for Clunkers” program misfires terribly! The clunkers deal is another example of how liberal policy makers short sightedness sorely miss the mark of actually being helpful to the American people
“Clunkers” misfired in several ways. Who was helped most? Was it the United States? If you guessed yes you were wrong. The Japanese and Koreans got top billing. Toyota, Nissan, and Hyundai outsold domestic brands in a big way. Ford trucks did well, but the Japanese and Korean brands beat the big 3 by a two to one margin in car sales.
Typical of government managed programs, dealerships have complained that the gov’t website where they were to submit the voluminous info needed to apply for rebates was constantly unavailable because the servers could not handle the volume. The deadline was extended by a day to help alleviate the problem. Dealers also report that they are still waiting for the bulk of rebate money with many of them having not received a penny to date.
The big idea as I understand it was to get gas guzzelers off the road, give an economic shot in the arm to GM, Ford, and Chrysler, and lessen the U.S. carbon footprint. Just how successful has the program been?
It is true that all the U.S. brands sold more units, and finance companies made out like bandits as well. That is good isn’t it? But, it is good for only one narrow segment of the U.S. economy. Scratch the labor unions backs and they will scratch yours at the polling place is the bottom line.
Has anyone thought about the thousands of used car dealers whose inventory source temporarily dried up? They are U.S. citizens too, small business men and women who have families to feed. 700,000 cars and trucks is a huge hit for secondary dealers.
How many of those 700,000 will be repossessed in the next year? I’ll wager the number will be staggering. Any time the government is throwing cash around, greed and ignorance overwhelms common sense and people do dumb things. There is no doubt that many people signed up for loans they can’t repay. So, the end result for them is that they will be off their rubber wheels and on their rubber heels in a few months. How’s that for helping the economy?
Then there is the pollution question. Experts agree that the “Clunkers” program’s impact on carbon emissions is so minuscule it is hardly worth doing the math, so much for solving global warming.
I predict that even more than the $3 billion already allotted will be needed before all the dealers are paid. Do the math, the numbers don’t work. $3 billion to one narrow segment of the U.S. economy and that is good?
Democrats are all about style over substance. To them, posturing is every bit as important as actually doing something worthwhile. Weepy Hollywood types make dopey speeches about some cause in a far away place and are praised by the salivating media as if they are actually doing something to help. Cash for Clunkers is only the tip of the iceberg. Hang on baby, it’s gonna be a rough ride.
Liberalism unleased is a dangerous thing.