Do You Think Cash For Clunkers Will Really Help Kick Start The Auto Industry?

Yes if you can buy Asian and European cars the majority likes. Buying a Ford, Chrysler or a GM would be paying for a brand new clunker.

Yes , and ship more money overseas

No.

Cash for clunkers is an essence of communism and socialism blend together, two for the price of one.

Your money get stolen and transferred to your neighbor's pocket because he accidentally happens to buy a new car.

Because you're now devoid of cash (indirectly, by means of less services coming back to you for the taxes you pay since some of them financed your neighbor's car), you spend less. So the economy is in just the same state. A bit more cars sold for a bit less of other stuff consumed.

Cash for clunkers means manually steering the economy. Soviet Russia did it and they fell apart. It biases buying pattern. When people don't buy cars, it means they don't need them and have betters ideas on how to allocate their funds. Don't disturb this process.

Cash for clunkers dampens the blow car makers have to take so more of them will survive. I don't see this as an advantage. Evolution has always been about survival of the fittest. This allowed next generations to carry on better approaches/characteristics. Same is in business. Bankruptcy of incorrectly managed companies cleans the market and allow survivors to spread their winning strategies.

Current crisis is caused by overspending, overconsumption, lack of savings and overblowing of imbalances in the world. Some are fat and indebted, others are hungry and poor. Massive car purchases (resulting in congestion, pollution and inefficiency) are in the center of this. Cash for clunkers only fuels the wrong direction of spending money therefore inhibits application and effects of healthy economical diet.

It provides incentives, not "manually steering the economy." Enacting regulations on what people buy would be 'socialistic,' this merely rewards people for social responsiblity. It's no different than a gas-guzzler tax; notice they must buy a car that gets better than 22mpg to qualify. I see nothing wrong with that.

Wow ! someone that speaks with a little inteliganace rather than many which just inflate their favorite make(s) and curse and hate the models they do not like . This site needs a moderator ,way too many flame wars to the point of a waste of bandwidth

How about regardless of my car I get $5k for buying a new one. I'll go trade my 2005 Matrix XR AWD in tomorrow and get a new Jeep Liberty in white with the Skyslider roof, loaded. That 5k will offset my being upside currently on a trade in since I still owe 2 more years and allow me to bring down my overall payment closer to what I am paying now.

Help the economy? Not sure. Help Me? Let's Make a Deal!

but it still won't make up for your increased costs for maintenance and repairs on a jeep vs. the matrix. ;)

The key to economic recovery is spurring consumer spending. And out of the big long list of things that the Government has done or could do, this is by far one of the best proposals to come along.

My beater 'green monster' XJ is a prime candidate for this. Someone wants to give me $4500 for something that worth about $500 I'll gladly keep it on hand until this gets around to getting signed. I'm certainly a hipocrite, however, since I think it is, overall, a bad idea. That said, I'll take free money if its being handed out.

can someone define clunkers? i have 1995 Nissan maxima wirh 265K, is that a clunker?

Regarding MrBratwurst's comments, if true, I agree with you. I would not be surprised to see socialist leaning policies being implemented under this government. I do not agree with the redistribution of wealth or benefit of one class at the expense of another, and that is what this "would" look like.

Maybe I should run out and buy a $500 beater and leave it in my garage until this is signed then go trade it in, lol!

As for my maintenance on the Jeep vs. Matrix. Yes it would be more expensive, and not because the Jeep has issues. They have always been extremely reliable cars for me and my family. The Matrix has been a great car, and it's not that I cannot afford a new car or the additional costs. I just wouldn't mind the help and would like something new.

Wrong idea...does anyone know that we're still in a recession and we can't simply afford another car payment...idiots

I don't think you understand what the program is. You are not handed 3500-4500 and you get to trade in your car. Your car is sent to the junk yard afterwards.
For most people they have the money they need the extra push to do something. I am in the car business and see it all the time. The media plays a damning role in this whole thing. I think that the will stimulate a lot of things.
By selling cars and getting the old ones off the streets, you are making it safer and putting more money in a lot of peoples pockets. Now when these people go out and buy a car, yes I get paid. Not a lot but something. This in terms allows me to go out and spend money. When I spend money, someone else makes it back and it terms into a cycle. You see?
Now imagine this times the amount of POS you see out there on the streets on the daily. Plus I am not the only one that gets paid. The service department makes money, parts, the transportation company, the financing company... You see where I am going with this?
Not only is this a green thing for those enviromental people it is green in the sense of the economy right now. We spend a lot of money on the banks and all I know is I can't refinance my house. What good did that do?

The world auto industry, with few exceptions, is hurting due to a slow economy. People are spending less due to a slow economy. I doubt giving someone a few hundred dollars for their clunker will result in them spending tens of thousands of dollars on a new car.