[bud01234]

Karl,

I absolutely agree that trying to spend out of a recession is idiotic and agree with much of your post. However, being in the auto industry, I'd like to point out a couple of things.

Originally Posted by KSagal

Let's talk about your points...

Exhaust? Okay, a couple miles per gallon is better.

(actually, to get the $4,500, the milage improvement must be 10 mpg or greater. 2 mpg "might" get you $3,500 depending on some strict guidelines.)

Money not going to hostile nations? I presume you mean via oil imports, because (depending on who you ask) 75% or more of the welfare checks given in this program went to cars from foreign nameplates.

(Have you looked at window stickers lately? Most of the 'foreign' cars put a lot more Americans to work than the 'domestic' cars do. Can you say Mexico and Canada?)

Driving up the price of gas? Hard to be sure. They will surely be driving up the cost of used cars, and since other programs like this around the world have resulted in black market cars to 3rd world locations, I don't know what other economic impact that may have.

(The clunker program is extremely restrictive to prevent exactly what you describe in other programs. The dealers are under severe guidelines and failure penalties that cause each 'clunker' to have the oil drained and a chemical poured in, then the engines are started and run to destruction. Then, the cars are taken directly to crusher location with all types of documentation to make sure they are indeeded shredded. I don't think a dealer would risk utter disasterous penalities to try to resell a few clunkers to 3rd world countries.)

Someone got a new car? Yes, someone who has a job (so they can get credit) will get a car with me paying a part of the cost... That may be good for them, but bad for me. My family benefits from my efforts, and now another family will too... My first responsibility is to my family.

(Actually this is the only one of the major 'giveaways' that actually is giving huge results with a very modest investment... unlike the auto bailout of a certain american manufacturer to the tune of 187 billion that result in bankruptsy less than 2 weeks later. With the clunker program, a single billion dollars resulted in the best 2 weeks in sales in years and actually put a lot of auto plants back to work or bringing in extra shifts, plus all the suppliers and sales people and banks and... the list goes on and on. All this will benefit your family now and in the future much more than just bailing out banks and car manufactures.)