MONDAY AUGUST 3, 2009

Cash for Clunkers

Let me get this straight. The politicians in Washington are surprised that the Cash for Clunkers program went so well. Why? Someone else is paying for up to 25% of the price of a new car! It should not be surprising that consumers have flocked into showrooms. If you need a new car, why wouldn’t you buy now?

 

Some politicians are touting this as the one successful stimulus program. If this is true, why not stimulate all products so we can really get the economy moving? Need a flat screen TV…a new lawn mower…how about a new microwave. Wouldn’t providing “stimulus” for these products help the economy? Cash for Clunkers is simply a wealth transfer from the taxpayers to new car buyers, auto dealers and, dare I say it, foreign car manufacturers!

POSTED AT 1899-12-30 14:15:00.0

KEN ENTENMANN, CFA
SENIOR VICE PRESIDENT AND
THE DIRECTOR OF INVESTMENT MANAGEMENT SERVICES

Ken is a Senior Vice President and the Director of the Trust and Investment Services at Alliance Bank, N.A. He has 23 years of investment experience and oversees the management of assets totaling $1 billion. He holds a B.S. in Applied Economics and Business Management from Cornell University and an M.B.A. from the William E. Simon Graduate School of Business Administration at the University of Rochester. He has also earned his Chartered Financial Analyst designation. He is a member of the Executive Committee of the Trust Division of the New York Banker's Association. He is also a director of the Central New York Community Foundation.

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