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Long-term impact of ‘clunkers’ program uncertain
Long-term impact of ‘clunkers’ program uncertain
Posted Tuesday, Aug 25, 2009, 1:14 pm in Employee News
The deals are done and the new cars and trucks are tucked into garages—or being washed and prepped for delivery. But the final reviews for the $3 billion “cash for clunkers” program won’t be in for weeks or even months, The Detroit News reported.
The White House Council of Economic Advisers gave the program a preliminary pat on the back Monday, saying it created or saved 21,000 jobs in its short, four-week life by forcing automakers to boost production and add shifts, the paper said. How long will the afterglow last, and will Americans keep buying? Experts and government officials say the final verdict may not be in for some time, the News said.
In a draft report sent to Congress, the Council of Economic Advisers predicted “cash for clunkers” would boost economic growth in the third quarter of 2009, which ends Sept. 30, at an annual rate of 0.3 to 0.4 percentage points, the paper said. The council acknowledged that the program prodded some Americans who had intended to buy a vehicle soon anyway to buy in the past month, the story said. (The Detroit News)
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Rick
Nitro Year: 2007 (1 of 113,000 sold)
Nitro Model: R/T 4X4 Stone White
CAT-BACK Exhaust, CAI, Projector Head Lamps
Fully-Equipped w/all factory options
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