Friday, July 31, 2009

House Approves Another $2 Billion For Cash For Clunkers

Something doesn't feel right with this sudden turn of events. Just a month into the program to provide rebates of between $3,500 and $4,500 for older cars that are replaced with newer cars with substantially better gas mileage, and we learn that the program ran through its $1 billion allotment. Well, maybe ran through it.

No one knows.

But the government suspended the program. Or didn't.

In any event, the House suddenly came up with another $2 billion to cover the program.

Now, here's the question that no one in the Administration appears capable of answering - how many rebates were issued and why there is a sudden need to add another $2 billion to the program? Was there actually an increase in sales or did people just take advantage of the program who were going to buy in any event?

Just because the money ran out doesn't make this program a success.

And where did the $2 billion suddenly come from that the government is awash in funds that it can do this?

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