Cash for Clunkers

It seems the Congress finally found a program that the electorate liked.

But who would not like it?  It's popular because it's a subsidy to some individual consumers (and one industry)...paid for by other consumers indirectly in the form of either higher taxes, greater debt, or less sustainable government down the road through the intermediary of the car dealers.

I urge the U.S. Senate to reject the House's attempt to fund the program with an additional $2 billion after a public frenzy blew through the first $1 billion.   Sadly, it seems it took government involvement to show the auto industry that discounts will get consumers into the showrooms these days.

Some will say this is a great way to effect policy changes, but I tend to disagree - it further weakens the U.S. federal fiscal picture.