Cash for Clunkers stimulates economy – of Japan!Policy

“Barack Obama is the best president Japan ever had,” said Dick Morris today.

“The DOT reports that the ten leading trade-ins are all American branded cars while six of the top ten new cars purchased – and four of the top five – are foreign.”

These folks in Congress and the White House are economic geniuses, aren’t they?

  • tx2vadem

    Toyota has 10 manufacturing facilities across the US (my count according to their map). Honda has 10 plants, info here. They both employ a lot of people and contribute a lot to economic activity in the states. What’s your beef with that? Do you equivalently have a problem with Transurban, an Australian company, operating the 80 and 60 year leases for the two largest PPTA projects in the Commonwealth? The two projects, incidentally, that Bob McDonnell lauds and gives top priority to in his Transportation Plan.

    As an aside, Edmunds has their own take on the numbers. They say DOT is using funny math to show that fuel efficient vehicles topped the list. When really, according to Edmunds, SUVs and trucks occupy the 4 of the top 5 slots.

  • havenasp

    Typical republican thinking… I wonder just how many JOBS are being held on to, by this whole cash for clunkers ordeal. I’d bet quite a few. Heck I’d take a prius over any american branded car any day of the week. They’re better built, last a lot longer, and don’t fall apart 2 months after the warranty expires.

  • http://virginianewssource.com/wallyerb/ Wally Erb

    What I have a problem with is my subsidizing these perks for those who have been operating these so-called gas guzzlers. Perhaps if we had had gas guzzler penalties we could have eliminated the gas guzzlers without ripping off from those who were energy responsibly individuals in the first place.

  • Chris Smith

    Yes those automakers employ Americans. But who gains from the companies success? Japan. Over $3000 of every hybrid sold is profit for Toyota and Honda. That’s 3 grand out of our economy and into theirs. doesn’t matter where the car is made.

    We wouldn’t be in this situation if Japan assembling their vehicles in the US was enough to keep the auto industry going. Nothing changes there. They employ some american’s but take the jobs of many more.

    It’s like making sneakers in Thailand. The sales of those sneakers helped out the US a lot more than it helped out Thailand. It put a lot more money in American pockets than Thai pockets.

    The top 10 cars being pulled off the road are all Detroit big 3 vehicles. 4 of the top 5 being sold are all Japanese owned. You do the math.

    This deal, is plain and simple, pull American cars off the road, and replace them with foreign owned ones. Turn american car owners into japanese car owners. It does this amazingly well.

    Maybe it is just me, but now as a part-owner of GM by being a taxpayer, if I had 3 billion dollars to use, I’d want all of that to feed my company… Not the majority of it going as an incentive to help out the competition.

    I’d rather see it spent on the designers of those top import cars, give them the big salaries paid directly from the gov’t stimulus to rebuild Detroit. That bill is paying them anyways, might as well pay them to make a great car who’s profits stay inside the US.

    Give it to the companies themselves with strict rules on how to use it, so that the money lowers the prices of their cars, giving a “pre-rebate”.

    Use it towards hybrid research and development.

    Use it to help rebuild the american auto industry, not to rebuild Japan’s economy.

    GM is now owned by America. Give out a $4500 rebate to any private owner (taxpayer) for a new GM. (can’t do a cash for clunkers with big 3 only as it violates Trade law.)