In less than two weeks of a program that was expected to last over three months, the "cash-for-clunkers" program has used up all of it's allotted $1 Billion ($1,000,000,000) !
Another total miscalculation by the government economists in charge.
$1,000,000,000 at $4,000 on average per vehicle is 250,000 vehicle sales in two weeks. According to motorintelligence.com total US light vehicle sales (i.e cars, vans, SUVs, light trucks) in June 2009 were 859,847 so even if only half of the cash-for-clunkers deals would not have occurred anyway, that's about a 15% spike in sales.
I'm planning to buy a vehicle in October and was weighing the alternatives of trading in one of my current vehicles at about a $5,000 trade-in allowance or getting rid of my "beater" pickup truck (value less than $1,000) on a cash-for-clunkers deal.
I doubt if the cash-for-clunkers program will be around in October.
Another total miscalculation by the government economists in charge.
$1,000,000,000 at $4,000 on average per vehicle is 250,000 vehicle sales in two weeks. According to motorintelligence.com total US light vehicle sales (i.e cars, vans, SUVs, light trucks) in June 2009 were 859,847 so even if only half of the cash-for-clunkers deals would not have occurred anyway, that's about a 15% spike in sales.
I'm planning to buy a vehicle in October and was weighing the alternatives of trading in one of my current vehicles at about a $5,000 trade-in allowance or getting rid of my "beater" pickup truck (value less than $1,000) on a cash-for-clunkers deal.
I doubt if the cash-for-clunkers program will be around in October.