Reply to "Cash For Clunkers Program is a Clunker!"

CASH FOR CLUNKERS:
A vehicle at 15 mpg and 12,000 miles per year uses 800 gallons a year of gasoline.
A vehicle at 25 mpg and 12,000 miles per year uses 480 gallons a year.

So, the average clunker transaction will reduce US gasoline consumption by 320 gallons per year.

They claim 700,000 vehicles – so that's 224 million gallons / year.
That equates to a bit over 5 million barrels of oil.
5 million barrels of oil is about ¼ of one day's US consumption.
And, 5 million barrels of oil costs about $350 million dollars at $75/bbl.
So, we all contributed to spending $3 billion to save $350 million.
How good a deal was that???

This does not even begin to address the cost of energy in creating a new car vs using an existing car.

This also assumes every car traded was the regular daily driver; not a secondary car looking to be dealt with.

My mom had 5 kids. Each with a $10 a week allowance. Billy bought a bike from Robby for $10. It was a good bike! But billy gave the bike to mom and dad mom and dad for $15, mom and dad crushed it, sold Billy a $100 bike for $85 and reduced all the kids allowances a dollar a week to compensate! Now Billy has a new bike he can't make payments on and everyone gets $9/week instead of $10/week for an allowance.


They'll probably do a great job with health care though!!