Cash For Clunkers -- what many dealers are telling me looks to them like a deliberate move on the part of the PowersThatBe to take what had been serviceable autos that were paid for and sucker-punch people into taking on debt they can't really afford.

 

This isn't a view that I pulled out of the hat to have something to write about.  It's based on emails like this one from people in the auto industry who see it this way:

    I am the manager for ****** ***** leasing in *******, Arizona. This provides a very unique insight into the current economic morass we are in. Facilities are shared with the parent company, the local Chrysler/**** dealership. This too gives me a front row seat for these fascinating times. My anger over this cash for clunkers program coupled with a frustration about how blindly people buy into these programs was the catalyst for (my) impetuous call this morning.

     

    To date an overwhelming percentage of the people taking advantage of this program have traded vehicles that were free of encuмbrances. Now they are in bondage, trapped into making payments during a time of great economic uncertainty. A number of the vehicles being traded in are in amazing condition. So, through this program we now eliminate a large segment of the used car market, vehicles that could be sold in the $3,000 to $6,000 range to those on tighter budgets.

     

    The destruction of these vehicles will eliminate a huge resource pool of used parts to keep older vehicles on the road in a cost effective manner. The second reason this really lights my fuse is waste on this magnitude is truly immoral and irresponsible. I will forward photos tomorrow of some of the vehicles we will be destroying and I will also post them on my blog, www.route66chronicles.blogspot.com.  The blog generally leans toward the light hearted side of life but as an automotive historian with a lengthy resume of published work and as associate editor with Cars & Parts magazine I feel a responsibility to say something about this insanity.

     

    Next is the simple fact we are merely sopping up some of the excess inventory of automobile manufacturers and doing little or nothing to stimulate responsible production.

     

    Even worse we are placing dealerships in a position where there will be few potential customers in the months ahead. Then there is the environmental charade. Which cause more "pollution"? Driving a well maintained 1973 Olds responsibly (bicycling to work most days, renting a fuel efficient vehicle for long distance trips, and using the Olds for limited transportation) or destroying it to produce a new car?

     

    Two quick vehicle notes you may find of interest. I am notoriously "frugal" when it comes to vehicles. We paid $350 for the Olds seventeen years ago! The second note pertains to the Cherokee mentioned previously. After extensive evaluation we decided the Cherokee of the 1990s was an ideal replacement for our very tired 1988 Ford s/w. Recently our patient search was rewarded with a one owner 1998 model, 103,000 miles, for $3,000. You have noted on several occasions the need for a replacement vehicle and I respectively suggest some research on these highly versatile, extremely durable vehicles.

     

    Last but not least on my list of reason to be angered over this cash for clunker program is the simple fact we are paying for this insanity with our tax monies. With each passing day the feeling increases that I have stumbled into the middle of a French movie with Japanese subtitles. Thank you for letting me vent. On numerous occasions the intention was to drop a note of thanks for your website but rather than intrude on your busy day decided to let the number of hits speak for me. Following your sage advice on relocation and preparation has been hindered by family obligations that keep us rooted in Arizona. Still, we prepare to the best of our abilities and limited resources. The long term plan is to have things in place for a rapid relocation to southern Alaska as soon as these obligations are resolved. Your site is a sanctuary of sanity in this increasingly bizarre world. Keep up the good work.

True, makes people more in debt, which is never healthy for them or economy.

It is also unconstitutional, can't find that anywhere in Article I section 8......