As senators get ready to vote on whether to add $2 billion to the ballyhooed "Cash for Clunkers" program, some of the nation's largest dealerships have created a private stimulus package of their own, offering prospective car-buyers from $500 to $4,500 in incentives on top of the federal program.
The dealers' package begs the question: Do taxpayers really need to kick in an additional $2 billion for the federal program now that private dealers are offering a similar -- or even better -- deal?
"If the auto industry can afford their own $4,500 per car auto stimulus, why are taxpayers being forced to foot the $3 billion bill on clunkers?" Sen. Jim DeMint, R-S.C., told FOXNews.com.
The dealers' program, dubbed the Automotive Stimulus Plan, was slated to start on Aug. 14 but was launched early due to instability in the Cash for Clunkers program. But unlike the federally-funded program, the dealers are declaring all vehicles older than 2007 models to be eligible for trade-ins, and they are allowing the money to be used to buy or lease both new and used cars.
Brian Benstock, vice president and general manager of the Paragon Auto Group in New York City, one of roughly 50 participating dealers nationwide, said the private push is designed to fill "gaps" in the federal program, including the exclusion of used cars from the Cash for Clunkers plan.
"So you left out nearly half of the potential market," Benstock told FOXNews.com. "We wanted to come up with a program in that no car would be left behind." - FOX News Story
I have to agree, why are we Taxpayers footing the bill of $3 Billion to help out the Automotive Industry and getting greener cars out there if the Auto Industry can afford to do it on their own?
No comments:
Post a Comment