Cash For Clunker is once step closer to becoming a reality. As some think this is a solution to stimulate our economy; I have real doubts that this will do nothing but cause headaches and cause more trouble then good, but I would also like to hear your thoughts on the story. Click the titles or the image to read the fully story and leave your opinion.
The American International Automobile Dealers Association today applauded news that the House of Representatives has overwhelmingly passed a scrappage, or "Cash for Clunkers" bill. The bill, H.R. 2640 - the Consumer Assistance to Recycle and Save Act, was sponsored by Rep. Betty Sutton (D-Ohio). If it passes through the Senate, it will provide consumers with up to $4,500 for trading in an old vehicle for a new, more fuel efficient model.
"For months, while Congress has debated a scrappage program, consumers have postponed their automotive purchases," said AIADA President Cody Lusk. "However imperfect, if this bill clears the Senate, dealers can look forward to a true stimulus program that will incentivize customers to buy. International nameplate dealers view this legislation as a big step toward an industry-wide recovery."
Elsewhere, similar scrappage programs have seen great success, with countries such as Germany achieving a 28 percent increase in vehicles sales. To date, autos sales in the U.S. are down 36.5 percent from 2008.