Diary

Obama's Cash for Clunkers hurts poor people

As is usual with big government programs, the “Cash for Clunkers” program has some unintended consequences. This one is a direct harm to the nation’s poorest people.

A woman who was in charge of a charity was on a radio interview this morning. The charity raises most of it’s money by getting people to donate their old cars and reselling them. You’ve probably seen ads for charities of this nature. “Give us your old car to feed the poor” or similar billboards are all over the country.

Since the Cash for Clunkers program has started, donations to her charity have dropped to zero. That’s right, all the good works her organization was doing have come to a halt because Obama tried to help the car companies sell more cars.

As always, bad things happen when the government meddles in markets.