Thinking about the whole "Cash for Clunkers" passed by Congress and signed by President Obama, there will be (In My Opinion) a unwanted effect to the part of the country where we reside.
Here are a few of the problems I foresee:
1. Auto parts stores will eventually see a slack in business due to less used automobiles in the market.
2. There will be less used vehicles to purchase especially for someone who simply needs another car and yet they can't afford the price of a new one.
3. Need a used part? There will be fewer of these also because the government is having them scraped. Junk yards will be getting slimmer.
I understand that we need to change some unwanted consequences to our dependence on foreign oil. I believe this is a noble cause. The solution is simple. Drill here in our country for oil!
With the recession the way it is and also the unemployment rate is high, we probably need to keep some of those "clunkers" around. We may not be able to get the loan to purchase that new clunker to be.
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