Cash for Clunkers: Too Many Qualifying Cars

When the US government introduced the Cash for Clunkers Program 2009, they did not realize how popular it would become. It seems that too many qualifying cars was the reason that lead to the incentive being suspended. The Obama Administration is now fighting with congress to try to add another $2 billion into the fund.

The $1 billion that was set aside has already been depleted, The US government had assumed that the Cash for Clunkers would have enough cash to last until November, but it only managed to make it until the end of July.

The program was set up to allow drivers to trade in their old cars, which were less than 25 years old for something that offered better fuel-consumption. Cash for Clunkers offered up to $4,500 towards a new vehicle, drivers traded in 22,782 qualifying cars in just a few short days.

Do you think that the U.S. government should plow another $2 billion of taxpayer’s money into the Cash for Clunkers program?