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Cash for clunkers lives to survive as the bill to save new car sales from free fall had its newest reform measure speeding downhill. While some blowback to the bill’s success in reality has flowed throughthe media, many consumers flocked to get a superdeal on a new car.
The American people haven’t had such a shove to by new cars since the 1940′s and 1950′s, when burgeoning Detroit auto manufacturers needed the boost. Today, America’s love affair with the automobile was on temporary breakup status until “Cash for Clunker” opened wallets and zipped plastic again.
Amid rumors late Thursday the rush was on and the clunker bill would be closed out, The House of Representatives voted Friday to rush $2 billion into the “Cash for Clunkers” car purchase program. Many U.S. consumers who had hoped to take advantage of the trade-in incentives had not yet organized a car purchase.
The Cash For Clunkers (re-)bill was approved 316-109. House members voted within hours of learning that the popular program was running out of money. Michigan auto manufacturers undergoing a steep downtown need the bill to make it through the worst sales slump in more than a quarter-century.
CARS, (the Car Allowance Rebate System) sold strapped consumers greener, efficient cars to Americans this year. The “clunkers” were the older cars taken off the road by the program. CARS effectively recycled old cars for new.
Car owners can receive federal subsidies of up to $4,500 for trading in their old cars for new ones that achieve significantly higher gas mileage.
There had been a $1 billion budget for rebates for new car sales in the program that was officially launched last week and has been heavily publicized by automakers and dealers.
The program offers owners of old cars and trucks $3,500 or $4,500 toward a new, more fuel-efficient vehicle, in exchange for scrapping their old vehicle. Congress last month approved the plan to boost auto sales and remove some inefficient cars and trucks from the roads.
The Senate was not scheduled to vote on Friday but lawmakers hoped to win approval for additional funding next week.
(from yahoo news)
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