Cash for Clunkers: We’ve struck Green
“Cash for Clunkers” is a heavily discussed topic these days. As you have probably heard, Cash for Clunkers is a government program that offers consumers $4,500 for trading in old gas guzzlers that is then applied to the purchase price of a new, more fuel efficient vehicle. This is an added benefit to both the consumer and the environment. Initial statistics on the program are reporting nothing but good things. According to early reports, consumers who turned in old vehicles through Cash for Clunkers increased their car’s fuel efficiency by almost 62%. The typical trade in averaged 15.8 mpg where as the new cars mpg increased to an average 25.4! Trucks account for 83% of the vehicles traded in and of the newly purchased vehicles 60% are cars. Not to mention, the new cars eligible for the $4,500 incentive are 18% more fuel efficient compared to other new cars on the market. When considering all of these factors combined, this means big strides for the environment and cutting down on harmful emissions. Don’t worry about the consumer, they too are reaping the benefits of Cash for Clunkers. In addition to $4,500 incentive, buyers are saving on average $700-$1,000 per year in fuel costs, driving new, safer vehicles and have lower repair costs. As if these benefits weren’t good enough, Cars for Clunkers is also said to be helping to jump start the auto industry. The rise in demand for new cars from this program is helping to begin the recovery process and with that comes jobs. If Cash for Clunkers is as great as it seems we have struck Green!