'Cash for Clunkers' Limits Access to Affordable Used Vehicles for Low and Middle Income Families

‘Cash for Clunkers’ Limits Access to Affordable Used Vehicles for Low and Middle Income Families

Cash for Clunkers would prematurely destroy vehicles and their valuable parts and components, denying more affordable used vehicles to millions of low and middle income families who cannot afford to purchase a new car even with a $3,000 to $5,000 government voucher.

Cash for Clunkers would prematurely destroy vehicles and their valuable parts and components, denying more affordable used vehicles to millions of low and middle income families who cannot afford to purchase a new car even with a $3,000 to $5,000 government voucher.  

“For families that cannot afford the price of a new vehicle even with a government voucher, the Cash for Clunkers program would limit their access to affordable transportation, a must for most working Americans,” said Aaron Lowe, vice president of government affairs for the Automotive Aftermarket Industry Association.  “Cash for Clunkers may sound good at first, but when you take a closer look, it is clear that the Cash for Clunkers proposal will negatively impact car owners, wasting billions of taxpayer dollars.”

Steven Levitt, a University of Chicago professor of economics and author of the best-seller Freakonomics, recently wrote about Cash for Clunkers on his New York Times blog: “It also seems to me that any effect on the demand for new cars would be extremely limited. People who drive clunkers are generally not in the market for new cars. Presumably their replacement car will be a used car. The increased demand for used cars will lead to higher prices for used cars, which will push some buyers towards a new car, but the likely impact on new cars would be small.”

Congress and states have considered Cash for Clunkers proposals in the past and in many cases have decided against them.  Many legislators have come to realize the unintended consequences of this program and that they are not a cost effective use of government money.  

“Providing incentives for individuals to purchase fuel efficient vehicles or to have their current vehicle maintained would be a better use of federal money,” continued Lowe.  “The bottom line is that Cash for Clunkers is a bad idea and should be rejected by Congress.”   

Interested parties can send an e-mail in opposition to the Cash for Clunkers program to the Speaker of the House, the Senate Majority Leader and their congressional representatives by visiting www.fightcashforclunkers.org and clicking on "Take Action." 

About Fight Cash for Clunkers:
The Fight Cash for Clunkers organization opposes the inclusion of a Cash for Clunkers provision in the economic stimulus package currently being considered by Congress, instead favoring tax credits to help upgrade, repair or maintain older vehicles, as well as tax deductions for interest on car loans and state sales tax.  For more information, visit www.fightcashforclunkers.org.

You May Also Like

FCS Introduces 42 New Numbers in May

Complete strut assemblies, shock absorbers, shock absorber assembly kits and suspension struts for popular VIO applications are included.

FCS Automotive announced the release of 42 new numbers in May, including:

8 Complete Strut Assemblies (936,389 vehicles in operation)

6 Shock Absorber Assembly Kits (2,696,801vehicles in operation)

16 Shock Absorbers (6,245,071 vehicles in operation)

12 Suspension Struts (2,135,974 vehicles in operation)

Philips Ultinon Drive 5000 LED Lightbar Line Expands

Lumileds has expanded the Philips Ultinon Drive 5000 series to include eight models.

DMA Adds New BrakeMaster Coverage

New coverage for Ford and Chevy includes popular pickup trucks and SUVs.

Akebono Expands Severe Duty Disc Brake Pad Kits

Akebono said it expanded its severe-duty ultra-premium disc brake pad line by 14 new part numbers.

GSP Releases New CV Axle Part Numbers

GSP said 14 new CV axle part numbers are in stock and ready to ship.

Other Posts

BCA Bearings Unveils 2024 Endless Summer Promotion

The Endless Summer promotion runs from May 1 through June 30, 2024.

PRT Launches 30 New Complete Strut Assemblies

The new items represent more than 10 million vehicles in new coverage, PRT said.

RNR Tire Express Hosts Mother’s Day Giveaway

The eighth-annual event promises $100,000 in prizes, as well as a brand new 2024 Buick Encore for one select nominee.

Brand Refresh for Tires Plus, Hibdon Tires Plus Begins

Logo updates include a single-color tire mark; a logo palette comprised of Tires Plus yellow, black and red; and refined typefaces.