LariAnn

Cash for Clunkers May Cost Up to $45,354 Per Vehicle

IMHO, the incentive is actually a gift to the dealers/auto companies, not the auto buyers. Why? Because, as we all know, the value of a new car drops precipitously once the car leaves the showroom floor. This loss hit is taken by the auto buyer, not the dealer. Also, if the auto was financed, the buyer is now paying interest on this loss as well. The dealer doesn't take a loss at all. So the dealer/auto companies got the $3500 or $4500 per clunker; and all the auto buyer got was $3500 or $4500 of debt as a part of the total cost/indebtedness incurred from the vehicle purchase.

Wall Street Breakfast: Must-Know News

The more I observe and see what kinds of strange decisions are being made by the government about the economy, the more I wonder if those who are making those decisions know something about the future that we don't. I mean, why steer the country towards certain economic disaster unless . . . they know reasons why it won't matter after all. Think about it. We could all just be a bunch of mushrooms, kept in the dark and fed BS . . .

Wall Street Breakfast: Must-Know News

"A day late and a dollar short . . ." R. I. P., auto companies!

Buy, Sell or Hold: GM's Too-Big-to-Fail Myth

If the big 3 fold, that won't mean an end to the auto industry in the U.S. Besides the fact that there are plenty of automobile factories in the U.S. that do not belong to the big 3, their fall will leave a big niche open. Small, lean and hungry upstart companies with far greater nimbleness and far less overhead will rush in with venture capitalists in tow and grow rapidly, making and selling the kinds of cars the U.S. auto buyer demands. It would not be a picnic, but it would be a revolution of sorts.