1.) Borrow money from China.
2.) Use that money to destroy valuable, usable capital, in America.
Cash for clunkers is insane!
ping
Larry Kudlow—the Charles Nelson Reilly of economics.
Cash-for-clunkers is a primarily an environmental program and I think it has some prospect for success as such.
Conservatives, of course, argue that that C4C fails as an environmental program because the GHG emissions saved with lower MPG vehicles are offset by the increase in emissions that results from vehicle manufacture and destruction. If that’s where it ended, they’d be correct. However, the long term benefit of C4C is that it increases the price of used vehicles and new economy cars, thereby pricing low-income working people out of the car market and forcing them into public transport (where all politically correct Democrats know they belong.) This is perfectly consistent with the statist elitist’s contempt of low-income working people. GHG emissions reduction is only for the little people, you know.
the supply siders have given up on him a loooong time ago. his monetary policy is also demand side.