Monday, August 3, 2009

Car sales bounce

The "cash for clunkers" program contributed to a surprisingly strong 16% gain in auto sales in July. How much can be attributed to the program remains to be seen, but my rough calculations suggest that even without the program it would have been clear that auto sales have bottomed and are now turning up.


Public Library said...

Hey isn't that great! Lets just keep running billion dollar programs to sell cars, financial products, health care and bridges, and America will be a.ok.

The stimulus will not be recalled with an unemployment rate of 9.5% so lets stop dreaming and start thinking about what the impact of a stimulus will be, with a trillion floating around at banks, the dollar tanking, and half the US already subsidized.

Scott Grannis said...

I should add that I think the cash for clunkers program is an egregious example of stupid public policy. All it really does is prove that Americans are still smart enough to take free money whenever it is offered.

Public Library said...

I 100% agree.