To the Editor,
Our two greatest economic problems are US Government debt and individual consumer debt. Yet, one solution that this administration has come up with is “cash for clunkers”. This program entices consumers to trade in old, lower mileage, yet operational and most likely paid-for automobiles for brand new models. The incentive is a $4500 credit for the alleged clunker paid by the federal government with money it does not have. The consumer then has to pay the rest which in most cases will mean a new auto loan. So our public debt is being increased so that individuals can take on more debt. And, let’s not forget that the clunkers, many of which are perfectly usable, must then be turned into scrap by having their engines destroyed. This will take hundreds of thousands of used vehicles off the market where they might otherwise have been purchased by consumers who are unable or unwilling (wisely) to take on more debt. They will have to pay more for a used vehicle or spend even more for a new model. Destroying perfectly good assets while piling up more debt: brilliant.
Mark Vincent
Amherst