Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
WASHINGTON -- Red hot auto sales under the U.S. government's "cash for clunkers" incentive began to cool as dealer inventories tightened and showroom traffic showed signs of leveling off from its frantic pace of a week ago.
One industry analysis released on Tuesday forecast a steady decline in "clunker" related business even though the Obama administration and Congress added $2 billion to the program in recent days with hopes of matching the success of its first weeks.
Moneynews - Clunkers Program Loses Steam (http://moneynews.newsmax.com/investing/cash_for_clunkers/2009/08/12/246851.html - broken link)
This seems to lend credibility to previous claims that C4C only hastened people's decision to buy a new car who otherwise would have done so without the program. Those people completed their mission and took advantage of the extra savings. Not everyone wants or needs a new car right now and it shows.
thank goodness to watch all those perfectly good cars being permenently disabled was a joke. low income and unemployed are the ones who need these used autos the most as that is all they can afford at present. so the gov starts a program to destroy them to help gov motors and the UAW. what a joke
This seems to lend credibility to previous claims that C4C only hastened people's decision to buy a new car who otherwise would have done so without the program. Those people completed their mission and took advantage of the extra savings. Not everyone wants or needs a new car right now and it shows.
Weird.
The program was designed to hasten people decision to buy a car now when the economy needed it so the argument is more than a bit specious, to say the least.
Like any limited time sale, or at least the one's my wife goes to, the initial action is always when the stores first open, sales then taper off during the remaining hours, so huge surprise that a program that initially allowed for the purchase of 250,000 or so cars went like gang busters in the first week!
As for everyone not wanting a new car... duh! But what does that say about the credibility of critics who argued that; Americans would do anything when there is free money from the government; the program would be swamped with people who couldn't afford a new car; or that the program would mire thousands of Americans in more debt when they couldn't afford it. Clearly folks are making judicious use of the program. But to say that wouldn't fit the constant movement of goal posts that critics of the administration seem to be so addicted to.
Had conversations with a couple car salesmen, two different dealerships, today, they both said that the program had helped with traffic but two problems had cropped up: choke points in the government end of the paperwork and people coming in not able to afford a new car. This is in an area that hasn't realy recovered from the recession in the 1980s so that most likely has an impact on the second thing.
Had conversations with a couple car salesmen, two different dealerships, today, they both said that the program had helped with traffic but two problems had cropped up: choke points in the government end of the paperwork and people coming in not able to afford a new car. This is in an area that hasn't realy recovered from the recession in the 1980s so that most likely has an impact on the second thing.
I know the Chrysler dealer across the street. They were going gang busters and now the "lower level" customers are shopping. They are having a hard time getting people approved with decent interest rates. They are still busier than the norm. It was/is a much needed boost to their business.
This seems to lend credibility to previous claims that C4C only hastened people's decision to buy a new car who otherwise would have done so without the program. Those people completed their mission and took advantage of the extra savings. Not everyone wants or needs a new car right now and it shows.
Nope it actually is about the "retardedness" of people... they don't understand simple basic realities...
1) The automotive company is SUFFERING by massive margins... you are VERY likely to get a good deal on a car and the incentive is just the "extra"...
A) You go into a show room they WANT to sell you are car at a good price, for you sir, take $2k off the MSRP...
B) You get an extra incentive from the government...
The money ran out and Congress approved of another...
2) Now automakers are expecting you to show the same level of enthusiasm as previously which means they are NOT as likely to offer you a good deal... for you sir, MSRP price...
A) The deal didn't quite become a deal anymore... but who could blame the dealers... they want to profit after all... they figure it would make more people want to buy with the government subsidy... why discount like before?
It backfired... sorry... that's just the way things are... If you offer a sale and then take out the "sale", it isn't really a sale anymore...
I hope you packed a lunch, 'cause it might take a while.
Yea, like 3 and a half more years.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
