Who’s the Real Clunker, Here?

Dealers stiffed as clunkers pile up

Via Instapundit:

Some New Mexico auto dealers have backed out of the cash-for-clunkers program and more may do so as the federal government takes its time providing cash reimbursements.

Dealers across the state are owed more than $3.6 million, according to a dealers’ group which says that so far Uncle Sam has only written three checks totaling about $14,000.

The whole thing ran out of cash in a week, requiring fast legislation to keep it running. By voting to use more of your money. Now they’re screwing over dealers.

The G can’t run a used car operation but they want to run your healthcare?

Yah. Right.

UPDATE: Here’s a bit of understatement from MSNBC:

Cash for Clunkers success limited by its flaws
Bureaucracy, poor planning may mar the overall impression of the program

Comments

  1. One thing I don’t understand about any of this.

    Eh, that is, one thing besides all the rest of this I don’t understand:

    What’s to stop my wife’s employer, who pays a tremendous amount of our monthly premium, from saying “ok, we don’t need to cover you now because you can go be on the govt program and see ya”?

    The Big O sez that “you can keep your current coverage”, but, ah, it’s really not up to me.

  2. “The whole thing ran out of cash in a week, requiring fast legislation to keep it running.”

    I hear it phrased this way a lot. A more accurate phrasing would be:

    “The whole thing achieved its goal of triggering ~250k trade-ins for more fuel efficient new vehicles in a week, prompting fast legislation to extend the program to ~500k more vehicles.”

    It’s not a time window thing, it’s a number of vehicles thing. Not that I agree with the program at all, but at least be fair in the description…

  3. That’s a very fair point, KTLA. Good clarification.

    I guess the way I see it is that it was sold as running until the end of October, and I took that to mean that, based on their projections of participation, it was funded until the end of October. Then everyone rushed in and the money was spent in a week, meaning the program management’s projections were made in La-La Land.

    I don’t want the La-La Land projection people projecting health care.

    I know you know this. I only wanted to spell it out for the record.

  4. GL: You’re not allowed to raise that point. What if someone notices or something? They might start wondering about the same thing, and then we’re going to have more people all upset and everything.

  5. Geek Lethal , you are an unpatriotic Nazi. Hey everyone! Go look at the unpatriotic Nazis while we do our thing with the health care over here. Don’t mind us.

  6. Geek Lethal, the way I understand it, there is actually one “feature” of the bill that is supposed to discourage employers from doing that exact thing:

    If they drop employees, and dump them on the government plan, then the employer will be liable for an 8% tax on the employee’s salary, much like FICA (only above and beyond).

    Now the scam part is, IMO, that it’s not unusual now to pay 10-12% of an employees salary (and a higher percentage for low salary employees) for current health insurance plans.

    So instead of a disincentive, the 8% tax is actually an INCENTIVE to put employees on the government plan.

  7. Let’s see………..can’t accurately project fiscal requirements and time frames………….and disingenuously portrays subversion and coopting of the economy; to gain more control over our lives and power for themselves. This crew is definitel ripe for management. Oh BLEEP! They are management! Yikes!

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