Potomac Fever: Cash for clunkers cost $24,000 per car

Thursday, October 29, 2009

evan said...: Cash for Clunkers cost the government either $3500 or $4500 per car. It doesn't "not count" if people would have bought cars anyway.; October 29, 2009 at 10:10 AM
evan said...: Not really. The money was obviously intended, first, as an incentive to buy cars. But it's also a behavioral incentive--if the governments get people to buy cars all at once, it gives the impression of the economy picking up and consumer confidence rising, etc.; October 29, 2009 at 10:18 AM