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Cash for Clunkers - Final Analysis
Now that the Cash for Clunkers program is over and we have had time to actually access the results, it is time to put the myth that the program was a tremendous success to rest. It was not.
According to Edmunds.com, the premier resource for online automotive information, the company has determined that Cash for Clunkers cost taxpayers $24,000 per vehicle sold.
According to the article, nearly 690,000 vehicles were sold during the Cash for Clunkers program,officially known as CARS, but Edmunds.com analysts calculated that only 125,000 of the sales were incremental. The rest of the sales would have happened anyway, regardless of the existence of the program.
To conduct the analysis, the Edmunds.com team of PhDs and statisticians examined the sales trend for luxury vehicles and others not included in Cash for Clunkers, and applied the historic relationship of those vehicles to total SAAR (Seasonally Adjusted Annual Rate)to make informed estimates. These estimates were independently verified through careful examination of sales patterns reflected by transaction data. Once the numbers were determined, Edmunds.com`s analysts divided three billion dollars by 125,000 vehicles to arrive at the average $24,000 per vehicle.
One more thing, what cost to the environment does destroying all those vehicles have vs. leaving them on the road?
And you want the government to handle Health Care? Not me!
According to Edmunds.com, the premier resource for online automotive information, the company has determined that Cash for Clunkers cost taxpayers $24,000 per vehicle sold.
According to the article, nearly 690,000 vehicles were sold during the Cash for Clunkers program,officially known as CARS, but Edmunds.com analysts calculated that only 125,000 of the sales were incremental. The rest of the sales would have happened anyway, regardless of the existence of the program.
To conduct the analysis, the Edmunds.com team of PhDs and statisticians examined the sales trend for luxury vehicles and others not included in Cash for Clunkers, and applied the historic relationship of those vehicles to total SAAR (Seasonally Adjusted Annual Rate)to make informed estimates. These estimates were independently verified through careful examination of sales patterns reflected by transaction data. Once the numbers were determined, Edmunds.com`s analysts divided three billion dollars by 125,000 vehicles to arrive at the average $24,000 per vehicle.
One more thing, what cost to the environment does destroying all those vehicles have vs. leaving them on the road?
And you want the government to handle Health Care? Not me!
posted by Brian J Perks at
9:09 AM
2 Comments:
Are you actually suggesting the government created a program that cost more than they originally said it would? I find that difficult to believe. Haven't you seen the obvious success of Social Security, Medicare & Medicaid?
I know, it catches you be surprise, doesn't it Paul.
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