by Megan McLaughlin
If you haven't already heard of Cash For Clunkers, listen up! As detailed by Wikipedia, "The Car Allowance Rebate System (CARS), colloquially known as "Cash for Clunkers," is a U.S. federal scrappage program intended to provide economic incentives to U.S. residents to purchase a new, more fuel efficient vehicle when trading in a less fuel efficient vehicle. The program was designed to provide stimulus to the economy by boosting auto sales, while putting safer, cleaner and more fuel-efficient vehicles on the roadways."
Although the program ran out of funding rather quickly, last Thursday it won an extension when the Senate voted in favor of providing an additional $2 billion with the hopes of boosting the tiring auto industry. According to The Washington Post, "[the program] offers vouchers worth up to $4,500 for drivers trading in their gas guzzlers for more fuel-efficient vehicles."
Not everyone is pleased with Cash for Clunkers, but the program's popularity speaks for itself. Its a multiple-edged sword; it encourages American's to buy new cars, which will ultimately spur the economy. It offers citizens a chance to purchase a car at a lower rate, which, in these tough economic times, can be very helpful to some people. Most importantly, it takes unsafe cars off the road and replaces them with vehicles that are better for the environment!
Check out these links to read more about buying cars and doing your part for the environment!
Get rid of your clunker
Save Gas By Car-Sharing
Car Buying 101