As we predicted over a year ago, the Cash for Clunkers program offered by states such as California and Texas is going national.
Congress and President Obama have come to an agreement on a national Cash for Clunkers bill. For one year, the government will offer vouchers worth up to $4,500 for owners to replace their old cars. The goal is to jumpstart the auto industry by selling 1 million new vehicles.
“By stimulating consumer demand for new vehicles, this proposal will directly benefit domestic autoworkers and automotive manufacturers, which have arguably been hardest hit by the current economic downturn,” said Rep. John Dingell, a Michigan Democrat and staunch industry ally.
So, um, get ready to see fewer Datsuns on the road and more new Chrysler Sebrings.