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August 4, 2009

Cash For Clunkers Is WORKING So The Republicans Want To Stop It?!

Wow — what a beautiful thing!  Ford Motor Company announced yesterday that in July, for the first time in 2 years, new vehicle sales have increased!

Something positive is happening in our economy slowly but surely. It seems that those stubborn dark economic clouds lingering over the nation are beginning to clear.  Homes sales have increased, the stock markets are up and now American car sales are up. Yeah!

Is it OK for me to whisper the word trifecta?  As in the three main areas of our economy are slowly grinding their way UPWARDS!

Cash For Clunkers

The Cash for Clunkers program has been an astounding success. Addressing two of the big three items topping President Obama’s current agenda — the economy, the environment and healthcare.  The Cash for Clunkers program has allowed consumers with oversized gas-guzzling vehicles to trade them in for newer, more fuel-efficient vehicles, at a reduced cost.

The consumer wins by driving away in a car that costs them less to purchase and less to own and operate.

The environment wins because of the increased fuel economy (an estimated 10 mpg saved per trade-in) and decreased emissions inevitably given off by the ‘clunkers’.

The automakers win by getting a tremendous boost to their sales and profits.  Interpretation — mo’ money, mo’ money, mo’ money!

It’s a good day in America when our biggest manufacturing industry does well.

For the skeptics, the real questions are:

1.  Has the United States of America’s economy benefited from the Cash for Clunkers program?

2.  If additional funding passes will it continue to benefit the economy?

3.  Will this additional funding help consumer confidence and help to jump start spending again?

The answers are, in no particular order, yes, yes and yes!

Most economists agree that people spending money is what reverses a recession. It’s not complicated, people have to start spending.  When people start spending demand for goods and services increase and people get hired and then those hired spend more and because they are spending more demand for goods and services increase and so the cycle continue and then we see a boost in GDP.

When the GDP increases some inflation usually follows BUT that means that our economy is seriously improving and higher inflation equates economically to lower unemployment.

When Ford Motor Company and other American car companies sell more vehicles, they demand more goods from suppliers – not just auto part suppliers, but paper suppliers and ink suppliers and cafeteria-food suppliers and hand-soap suppliers and transportation providers, and the goods and services from thousands of other suppliers. In turn, those companies demand more from their suppliers and the economy heats up.

Right now, thanks to President Obama’s Cash for Clunker Program our economy has enjoyed a week-long window of collective restored consumer confidence – even stock sales are on the rise! Nice!!!

Cash for Clunkers has done in one week what what the top economic strategists and hundreds of lawmakers and thousands of experts and billions of dollars have not yet been able to pull off in ten months – it got the economy rolling again!

So now the program needs two billion additional dollars – give it to them!

Instead of shouting HALLELUIAH that our economy is seeing some light, several Republican politicians have sneered, scoffed and scorned the program.  I honestly believe that the ONLY reason they are trying to knock the program is because they can see its success and they do not want to see President Obama and the democrats do anything that is beneficial to you and me (Americans in general) because it will affect the number of Republicans who get re-elected in 2010.  It is that plain and simple folks; the Republicans prefer to see the democratic programs fail just so that they (the Repubs) can benefit politically.

This is an extremely selfish way that the Repubs choose to operate and I don’t like it one bit.  I want to see the Democrats programs succeed so that you and me — all of us — can all succeed.

I hope that our elected politicians have the collective common sense to agree that the Cash for Clunkers program continue.

It is important that YOU contact YOUR Senators and Congresspersons and let them know that this program is important to all of us and America’s economic health. 

This is our country and we the people must stand up for what’s right for us individually and collectively and we must let our politicians know that they work for us and we expect them to do what is best for we the people otherwise we will vote them out of office.

Go to http://www.usa.gov/Contact/Elected.shtml and search for your senators by name, state, or congressional class and visit their websites. 

Call both your Senators and your Congresspersons and let them know that you want the Cash for Clunkers Program to continue.



  1. Haha its amazing how misguided you are.

    The stock market is indeed slowly getting its feet back on solid ground, but very slowly. But in reality, the Cash for Clunkers has not been a success. Ford Motor Company says that July was its first month in over a year to post an increase in monthly sales. Good news right? Yeah it is, maybe Ford did so well because they didn’t have Obama and the U.S. Government bail them out? Hmmm.

    So what’s the bad news? General Motors saw sales slide overall in July, with no division reporting positive numbers. Most troubling, perhaps, is the 53.6 percent slide in Cadillac sales – a brand they plan on keeping. Also, not to bust your bubble, Chrysler division’s sales slumped 21 percent and Dodge’s sales were off 8 percent versus last year’s numbers.

    So as you quoted “Right now, thanks to President Obama’s Cash for Clunker Program our economy has enjoyed a week-long window of collective restored consumer confidence.” … I don’t know about you, but the car company that you claim is back is still struggling pretty bad. Not to mention, calling Cash for Clunkers a success when the program ran out of money ($1 billion in taxpayer money) in FOUR days is just supporting irresponsible government spending. Remember now… The $1 billion was suppose to last four MONTHS!

    Also it destroys the very market the poor-class depend on. In order for the dealerships to receive the government money, ‘clunkers’ need to be taken off the street and be destroyed. The lower class depend on those ‘cluckers’. And as we know, the banks aren’t lending out money, so the lower class is definitely not benefiting from this government program that it was designed for in the first place! But that doesn’t matter, our government has a good plan… just print more money and throw it at the problem!

    Comment by stodda43 — August 4, 2009 @ 3:22 pm | Reply

    • There is no perfect program of any kind, anywhere in the world.
      There is no religion whose doctrine we all believe in.
      There is no television show that we all like.
      There is no CD or record that we all enjoy.
      There is no government program that is perfect for everyone.

      This Cash for Clunker program is working for tens of thousands of Americans who have participated and I am happy with that.

      It is good to see our President doing something for everyday, regular Americans.
      It is good to see Ford making some money — maybe GM, Chrysler and Dodge can learn something from Ford.

      Comment by Paulette — August 4, 2009 @ 4:44 pm | Reply

    • The stock market is coming from a low of 6000 this year and is now almost 10,000, sure you didn’t expect it to shoot up to 20,000 points in 3 to 6 months. Regardless of who was in office this is the pace at which the market will move. One fact that most people don’t know is that the market is has done better in the last 6 months than the entire Bush presidency.

      Ford is reporting an increase in sales, no matter how you spin it. Since 2007 this is the first time Ford has had an increase in sales. Hoorah for American manufacturing!

      The question we need to ask ALL who criticize the president’s efforts to save millions of jobs and avoid the catastrophic repercussions of letting the largest manufacturing industry in America fall is, what would you do?

      All the numbers of doom and gloom you mention are so surprising and alarming. Oh yes my friend let me remind you we are in a RECESSION which the country is emerging from.

      The fact that the program ran out of money in the very first much more than $4500 cash back, so this is not the only reason for taking the offer. People are aware of the overall benefits. They are patriotic and altruistic.

      It is a tremendous success. The long term success of the program is immeasurable. The environment will breath a sigh of relief, it might seem insignificant now but the cleaner air in the long run will result in better conditions for Americans with breathing illnesses. This is just the first small step in a long term revolution of the whole program. Just imagine all the money saved from the billions sent to overseas to buy crude because of more efficient cars.

      Cash for Clunckers is not mandatory people can still buy and sell their old cars. The lower class is free to trade in or stay out. The long run they will benefit when newer models come out years from now and they want to buy used older efficient models, we have to start somewhere, your argument implies we should never evolve into anything better because we might be hurting people. The long term gains are great.

      The only sad thing about this is that it had to take a rescission and a government program to push auto manufactures to take bigger bolder steps.

      Cash for Clunckers = Americans win!

      Who are you cheering for?

      I wish my government would do something like that.

      Comment by RB — August 5, 2009 @ 9:05 pm | Reply

      • WOW Dutty — what a powerful response, I love it — THANKS VERY MUCH! Sometimes I just don’t have the energy to even address the non-thinkers (as I call them).

        This is the first time since I have been an adult that I can remember the government actually implementing policies that will positively affect regular everyday people immediately – Obama’s programs are better than a stimulus.

        -‘Everyone’ that qualified received a stimulus check this year

        -Unemployment benefits have been extended so those out of work get a little more a little longer

        -The stimulus includes tuition at colleges for those who choose to apply

        -If you have an old clunker you can get credit towards a new more efficient car

        -If you are a first time homebuyer you can get up to $8500 towards the down payment on a home

        -If you have problems with your mortgage payments there are programs to give some relief

        What a frigging GREAT President we have. Americans better start recognizing how good and great Obama is and has been. I am proud to have this man as my President. PROUD!!!

        As you mentioned, you don’t have these programs in your country. And we in America must recognize that most governments all over the world are not giving a helping hand to their citizens – we are blessed in America and should appreciate all we have!

        Comment by Paulette — August 6, 2009 @ 10:20 am

      • Great points Paulette,it is important that these good ideas don’t go to waste.

        Comment by RB — August 6, 2009 @ 11:38 pm

  2. The “Cash for clunkers” program is a mirage of success. This is the same success that was garnered to the housing industry from 1998 – 2006.

    There are many people who do not have the appropriate credit rating to even participate in this program, and must continue to drive their clunkers. Additionally, there are those who have the credit and think they can handle the new car payment (just like they thought they could handle the mortgage pmnts). This is a long-term experiment and only time will tell whether or not this program has truly been successful.

    Comment by Hollis333 — August 4, 2009 @ 4:09 pm | Reply

    • Let us give the Cash for Clunkers the time necessary to see if it’s ‘successful’.

      I am glad to see that President Obama has some ideas and that he is willing to try to fix some of our many neglected problems.

      Nothing tried, nothing gained.

      Comment by Paulette — August 4, 2009 @ 4:48 pm | Reply

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