Deal Struck on 'Cash for Clunkers'—Consumers Trading In Cars Would Get Up to $4,500

[OKIsItJustMe]

http://online.wsj.com/article/SB124154587078788181.html?mod=googlenews_wsj

MAY 6, 2009

Deal Struck on 'Cash for Clunkers'

As Part of Climate Bill, Consumers Trading In Cars Would Get Up to $4,500

By STEPHEN POWER and GREG HITT

WASHINGTON -- Consumers would get vouchers for as much as $4,500 from the government to trade in their gas-guzzling cars under a compromise plan that could help advance a broad measure to combat climate change.

The so-called cash-for-clunkers plan could be part of climate-change legislation being pieced together in the House. Rep. Edward Markey (D., Mass.), a co-sponsor of the climate bill, said the auto deal -- forged by Democrats on the Energy and Commerce Committee and endorsed by President Barack Obama -- "demonstrates how representatives from both coasts and the Rust Belt can reach agreement on difficult issues."

The cash-for-clunkers plan would run for one year, offering vouchers to people who trade in vehicles with average city/highway fuel economy of less than 18 miles a gallon to buy a more-efficient new car or light truck. The proposed program would offer the maximum $4,500 voucher for people to use to buy a car that gets at least 10 more mpg or a truck that is at least five mpg more efficient. The program is designed to spur some one million purchases of new cars or trucks to support the ailing auto industry.

…

The legislation is mired in disagreements among lawmakers over potential costs to consumers and businesses. Republicans are stepping up attacks on the climate initiative, branding it a "national energy tax." Meanwhile, committee Democrats are haggling privately over details of the proposal to curb greenhouse-gas emissions.

…

[ayeshahaqqiqa]

1. Hmm

All my clunkers get at least 24mpg, and most more.

[Jackpine Radical]

2. Sounds like you adhere to the Rez Car philosophy.

As it was explained to me by an Ojibwa friend, Rez (Indian reservation) cars have to meet certain high standards. The 3 major ones are that they have to be loud enough to warn animals of your approach, unreliable enough to guarantee you some hiking exercise, and cheap enough so that you can keep several in your yard for spare parts.

[ayeshahaqqiqa]

5. Yep

that sounds like our vehicles, all right.

[DJ13]

3. This program should have been based on age, not milage

Make any car or light truck older than say 8 years qualify for the rebate, and then promote increased gas mileage with a scale of rebates (up to the $4500) based on the mileage of the new car or truck being purchased.

[alstephenson]

4. I like your plan better. eom