XML FeedsAuto Bailout Infomercial
By CostBenefit on May 8, 2009 | In General, Air, Energy, Climate Change GHG Carbon CO2, U.S., Transportation, Research Institute NGO NonProfit, Costs and Benefits, Opinion (Not Likely Ours EV&CBN)
Like a late night infomercial, lawmakers in both parties are hawking “Cash for Clunkers” - a plan that will boost auto sales and help the auto industry … and jumpstart the economy.
But wait there’s more!
Lawmakers say it will reduce oil consumption and auto emissions too!
... Congress says the more than $3 billion price tag is a bargain. ...
Under the plan, people would receive a voucher towards the purchase of a new vehicle upon trading in an older, less fuel efficient vehicle. Depending on the vehicle type and other variables, a person might get up to $4,500.
If Congress were really interested in reducing oil consumption and emissions, vouchers would only be given to those who bought super fuel-efficient (high mpg) vehicles, or electric, or hybrid vehicles. Instead the program is pretty nice to drivers of gas-guzzling SUVs. Purchase a new large light-duty truck getting at least 15 mpg and you pocket the maximum $4,500 if the improvement is as little as two mpg compared to your trade-in.
...
Experts [also] say that 10-12 percent of a vehicle’s lifetime emissions are attributable to its production.
... Purchasing a new car crowds out other consumer purchases – even with the voucher a new car eats up a lot of disposable income. And industries that sell auto parts, or specialize in refurbishing or maintaining older cars have cried foul both abroad and here in the U.S. Also, gas prices are down, so what’s the incentive to buy a new highly fuel efficient vehicle.
...
Daniel Sperling, at the University of California-Davis warns that the program is too short-sighted to affect oil consumption or emissions – it’s currently slated to last a year.
FOR FULL STORY GO TO
http://www.taxpayer.net/search_by_category.php?action=view&proj_id=2447&category=Wastebasket&type=Project
Taxpayers for Common Sense www.taxpayer.net
May 08, 2009
