{"id":191035,"date":"2009-10-01T19:44:00","date_gmt":"2009-10-02T00:44:00","guid":{"rendered":"https:\/\/www.panix.com\/~msaroff\/40years\/2009\/10\/01\/cash-for-clunkers-have-had-a-long-term-effect\/"},"modified":"2009-10-01T19:44:00","modified_gmt":"2009-10-02T00:44:00","slug":"cash-for-clunkers-have-had-a-long-term-effect","status":"publish","type":"post","link":"https:\/\/www.panix.com\/~msaroff\/40years\/2009\/10\/01\/cash-for-clunkers-have-had-a-long-term-effect\/","title":{"rendered":"Cash for Clunkers Have had a Long Term Effect"},"content":{"rendered":"<p>The folks at the <span style=\"font-style: italic;\">Wall Street Journal<\/span> <a href=\"http:\/\/online.wsj.com\/article\/SB10001424052748703787204574442963304106596.html?mod=rss_whats_news_us\">miss the point<\/a>, by stressing capacity cuts, but it takes 2-3 years for new cars to become used cars.<\/p>\n<p>I&#8217;m not sure whey they do this, except for the fact that the jobs being lost are UAW jobs.<\/p>\n<p>More significant is the fact that anyone who got cash for a clunker under the government program <span style=\"font-weight: bold;\">did not have their car work its way down the used car ecology<\/span>.<\/p>\n<p>Cars traded in under that program <span style=\"font-weight: bold;\">had to be rendered undrivable<\/span>, generally by putting abrasive in the crankcase.<\/p>\n<p>What that means is that there has been a significant reduction in used cars in the pipeline, which is likely going to be boosting used car prices, and possibly new car prices, for the next few years.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The folks at the Wall Street Journal miss the point, by stressing capacity cuts, but it takes 2-3 years for new cars to become used cars. I&#8217;m not sure whey they do this, except for the fact that the jobs being lost are UAW jobs. More significant is the fact that anyone who got cash &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1108,973,1009,974,1023],"tags":[],"class_list":["post-191035","post","type-post","status-publish","format-standard","hentry","category-auto-industry","category-economy","category-government","category-hack-journalism","category-labor"],"_links":{"self":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/posts\/191035"}],"collection":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/comments?post=191035"}],"version-history":[{"count":0,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/posts\/191035\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/media?parent=191035"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/categories?post=191035"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/tags?post=191035"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}