Monday, August 24, 2009
At 8p.m. this evening the cash for clunkers program is being suspended. Following on from my post Riddle Me This? where I explained in easy to understand terms the basics of the TARP program and how it affects you, today I have decided to shine the Sidewalker flashlight of clarity squarely on the cash for clunkers program. Disclaimer: Never forget the four inhabitants of Castle Sidewalker are apolitical, and we just call it as we see it.
1. Take $4,500 of your money (as a taxpayer) give it to a total stranger and tell them to get rid of their old ride and buy a new car.
2. Joe your local mechanic, who has had a totally viable family business for four generations servicing the older cars in the neighborhood is out of business within six months.
3. The bloated car manufacturers will implode next year instead of this year, because there will be no one left to buy new cars as all the demand has been brought forward due to the cash for clunkers program.
The big question is how do we profit from this? The simple answer; buy vacant lots in the Detroit area because they are going to have to park these cars somewhere unless they stop making them!
I have published this post on auto (pardon the pun) as you know I'm away.
Feel free to comment...
-Current balance $18.30