The Cash for Clunkers program is yet another innocuous-sounding plan that will weaken the private economy and strengthen the government, the unions and the Democrat party. Here’s how:
The program is said to be intended to get older gas-guzzling cars off the road by giving government payments of $4,500 to car dealers to cut the sticker price for those consumers who trade in their older fuel-inefficient cars for fuel-efficient models. The dealer gives the discount to the customer and then gets reimbursed by the government.
This is the way in which the phony ‘global warming’ scare and end-of-the-world enviro petroleum scarcity nonsense reach into every aspect of our lives, and why an over-arching catastrophe like GW is needed to control our behavior.
One Plymouth Voyager owner said, “I never could have got $4,500 for my car.”
So what is wrong with this happy statement?
First, if people can get more from the government for their car than the car is worth, isn’t this just a giant subsidy for one small group of people and one industry? Christmas in August, thanks to the Democrats.
Second, the program has to date spent $150 million of government money, but more than $850 million is still owed to car dealers who gave the discounts but have not been reimbursed by the government. Some dealers involved in Cash for Clunkers may even make people sign a document that they will have to return their car if the government reneges on the payment, said one consumer advocate.
Now the program has run out of money after $1 billion was spent. It was intended to last until November 1. And Obama says he wants to expand it. The House has voted another $2 billion for the plan. And, hey, what’s another $2 billion on top of trillions in debt already?
This is the way that the Democrat-controlled House of Representatives is slowly sinking us in debt. And why the Democrats and Obama are going to lose big in the 2010 and 2012 elections.
Why should the taxpayers pay for this program when already we are facing trillions in new debt under Obama? Because we know that many people would simply need a new car anyway and now are taking advantage of the taxpayer because Obama said they could. And this is the way that the Democrats burden the productive taxpayers of America while giving a subsidy to a small group of people (those trading in their cars), the unions and General Motors in new car sales.
Obama is using a standard Democrat tactic. He is spending so much money, that he is hoping that Americans won’t notice another few billion. And this is the way that the federal government and states like California and New York have accumulated massive debt, billion by billion. And this is the way that the Democrats, ACORN and other left-wing groups are trying to incrementally overwhelm the taxpayer with debt, debt and more debt while drawing private capital out of the economy.
For instance, ACORN currently is moving through poor neighborhoods in American cities encouraging more and more people to sign up for as much government money as they can get, telling people everything that they are possibly eligible for. This is the left-wing strategy to further inundate the economy with dependent people, which already has happened. That is why taxes are so high in America and government budgets so strained.
Cash for Clunkers is yet another disaster, only one week old and another $1 billion in debt. It certainly is sparking new car sales but sales of lamps will go up too if you subsidize them. The spike will be temporary. And those sales could be increased more permanently by a growing economy spurred by lower debt and lower taxes, both of which Obama reject.
Imagine if the same big-government people who are running this Cash for Clunkers Ponzi scheme get hold of health care? They want to, that is for sure.
And here’s another thought: If these older traded-in cars are still operating – as many are – why send them to the junkyard as the government plan requires?
Think of it this way: If you take a brand-new car and immediately take it to the junkyard, all the energy used to build that car – which easily could amount to the equivalent of thousands of gallons of fuel to make steel and other parts, transport them, assemble them and then deliver them – would be wasted. And isn’t the energy invested in older cars being wasted if the cars are scrapped while they still have life left in them? Does not that energy “waste” reduce the effective efficiency of newer cars?
Here’s a corollary story that suggests the same. Of the $787 billion economic stimulus plan to fix roads and bridges, Fox News recently reported:
Yet tens of thousands of unsafe or decaying bridges carrying 100 million drivers a day must wait for repairs because states are spending stimulus money on spans that are already in good shape or on easier projects like repaving roads, an Associated Press analysis shows.
Repaving? Spans in good shape? Does this not sound like an older car that still is running but which is going to the scrapyard? Why spend money to destroy good cars or fix newer bridges?
The reason is this: The government is doing it, that is why. And the Democrats never want to fix anything, but simply to further indebt the public and empower the government. If liberals really wanted to fix poverty, for instance, wouldn’t their trillions in handouts have done that by now?
Cash for Clunkers, stimulus, whatever Obama touches is intended to do one thing: Funnel money to people outside the free market and put more and more economic power in the hands of the Democrat party. And that is what Cash for Clunkers really is about.
And one final note: Who developed the Cash for Clunkers legislation?
Answer: Democrat congressman Edward Markey of Massachusetts, a state that is in a severe economic tailspin because of its liberal economic policies.
Please visit my website at www.nikitas3.com for more. You can print out for free my book, Right Is Right, which explains why only conservatism can maintain our freedom and prosperity.