Cash for Clunkers Causes Pollution and Poverty
This was going to be an article about how the Obama administration’s “Cash for Clunkers” campaign is an assault on the poor — which it is, because it breaks the flow of newer used cars to poorer people — but, in gathering facts for it, I came to realize that another of the unintended consequences of this self-destructive law is that it, literally, will increase pollution.
Why?
Ultimately, both of these side-effects are caused by the bizarre, authority-obsessed requirement that the cars traded in be destroyed, not sold to owners of even older cars.
Cash for Clunkers Pollutes
This is because the older a car, the worse its gas mileage. Not only in general, but also because cars tend to perform worse as they age.

But Now You Know is getting GREAT mileage out of this picture of the wind-powered Aerius, that charges its own hybrid battery while driving, in defiance of the laws of thermodynamics
Cash for Clunkers only rewards people for buying new cars, not for simply buying any car that got better gas mileage, regardless of its age. And it destroys the cars traded in, regardless of their own gas mileage.
This means that only more-prosperous people, who can afford new cars, are able to use the C4C program. They are, therefore, often trading in relatively nice, fuel-efficient cars. Often, they are even buying cars only a couple of miles per gallon more efficient.
Meanwhile, what about the people with older cars, which are much less fuel efficient?
Simple: They are having the nicer, more efficient used cars they WOULD have bought destroyed. Leaving them in a pollutive car longer than if the C4C never happened in the first place.
Since the older the car, the more pollutive, this has the net effect of WORSE pollution, not better.
Someone buys a new car that gets two miles per gallon better. His used car is destroyed, instead of going to someone who owns an older car that gets TEN miles per gallon worse. The net result is an LOSS of 8 MPG.
Take this real-life example:
- Dude A has a 16 MPG truck
- Trades it in for an 18 MPG truck, Obama gives him $3500 to save 2 MPG
- Dude B has a Chevrolet 1500, that gets 9 MPG
- Dude B finds he cannot afford to buy to buy a 16 MPG truck, because prices have gone up so much.
- He keeps his old truck.
Net result? The Obama plan gets credit for a whole 2 MPG increase, but actually produced a 7 MPG decrease.
“But this isn’t a good example”, some greenie shouts, “people were trading in SUVs for compact cars!”
While that would be a good example of the program increasing traffic deaths, it’s not actually true in this case.
This is because the initial stats claiming it were a contextual lie.
The actual numbers, in fact, show that the most people traded their vehicles in for SUVs and trucks.
But that’s not all…there is a large “carbon footprint” around manufacturing a new car. Statistically, it should be impossible for the above +2 MPG truck to save enough, in pollution, to make up for being built, over keeping the used truck. Same with non-carbon pollution, manufacturing versus microscopically worse gas mileage. Keeping an older car can actually reduce pollution.
Of course that wasn’t the original point of this article:
…and Causes Poverty
In their attack on consumer choice, the Obama administration attacked consumerism itself, which is a very politically-correct thing to do. But the fact is that consumerism makes our economy more efficient, and benefits the poor.
As the best-off consumers buy better things, items out of favor — whether used or just old models — become less expensive, allowing poorer people to buy progressively better stuff for the same prices.
In the case of cash for clunkers, the Obama administration broke this:
- Nice used cars will now be in shorter supply, which will raise the relative prices of the remaining nice used cars.
- This will make it harder for poorer people to afford to upgrade.
- This will trickle all the way down to the very poorest, who will soon find that their ability to buy some minimal car AT ALL, is affected.
- That can mean the difference between getting to a job, and getting out of poverty, or being trapped indefinitely.
So aside from the many other unintended consequences of this program, and there are many, the program has actually set the scene for poor people to have an even harder time affording cars, a vital tool for earning more money.
What’s more, most of the sales are ones that would have happened, anyway.
Didn’t Even Help

The net result of Cash for Clunkers will be more depressing effect on our economy. Government is often credited with the famous Reverse Midas Touch: Everything it touches turns to crap
Speaking of poverty, the program did not actually stimulate car buying, to help the economy, especially did not help the American car companies (who did not deserve it, anyway), and did not even get those new buyers to save gas mileage!
Why?
Because most of the buying was just what economists call “front loading”; the choice to buy a car was simply moved ahead…once the plan ends, car purchasing will decline to an abnormal low from where it would have been, as most people who could have anticipated buying a car in the next year or two will have simply bought ahead, at taxpayer expense.
The net result, therefore, will be the same amount of economic activity, but crammed hastily into a shorter period of time, and with the economy-damaging side-effect of government spending having required government debt or taxpayer burden.
“Hasty” seems to be a government motto, of late.
Oh, and the “helping American car companies”? The people who took advantage of Cash for Clunkers mostly bought Japanese cars.
In all, these factors mean that even this most feel-good of big government programs, Cash for Clunkers, has had the overall effect of increasing pollution and harming the poor, by removing perfectly good, modern used cars from the road, trapping poorer people in much older cars, for longer…while either increasing pollution through manufacturing more new cars, or just causing future economic turmoil by using economy-depressing public finance to encourage people to simply buy their cars a few months early, all at one time.
Check out the Worker’s Rights Manifesto
You and I, as a workers, have certain rights that are naturally ours, and that nobody should be allowed to violate. These rights are choices we are free to make, unless the powerful try to steal them.
The right to work for the amount we choose.
What we earn should be a matter between ourselves and our employers, not something controlled or approved by some government…more
The right to work for whom we choose.
Where we work should be a matter of which job offer we accept, not controlled by some law or.…more
The right to keep the product of our labor, and do with it as we choose.
The product of our labour is the amount we agree to sell our services to an employer for. It is ours by right, and any authority who takes it from us for their own purposes is wrong.…more
The right to decide how we work.
What if we don’t want three weeks off, but would like a little extra pay, instead? What if we want to buy health insurance with a huge deductible for two hundred bucks a year, instead of paying two hundred bucks per month for full insurance, because we have a lot saved up in the bank in case we get sick? Nobody should be able to.…more
The right to work the way we choose.
We have a right to decide what is “safe”, for ourselves, instead of.…more
The right to become owners / management, and be proud of it.
If we work hard, and make the sacrifice of saving our rightful income (product of labor), or work in our own time to create a great new idea, we have a right to invest it to create new wealth.…more
It’s OK if it Kills People
(caption: Standing by a minicar, crushed in a test against a mere mid-sized car: "The laws of physics can't be repealed. Even with modern safety features like multiple air bags, people in small, light cars are always at a disadvantage in crashes." -- Russ Rader, Insurance Institute for Highway Safety (click picture to see video))
It’s bad enough that new gas mileage standards will cost the already-struggling US automakers at least $21,000,000,000 per year, which they will pass on to YOU, either in as consumers or taxpayers, but they also can TRIPLE the chance of your family dying in a car crash.
The new CAFE standards require automakers to have a much higher average gas mileage within a few years. But since automakers can’t force people to buy smaller cars, this means they must stop making larger cars, in order to force the “average” bought to be more efficient.
GM, for example, is going to literally stop selling the Caprice, one of its most popular and longest-made cars, to regular people…because it’s large. It will only offer those to “fleet” buyers, like police, taxi, and limo companies. Each company will also make the cars it does offer smaller and lighter. You will have no choice but to buy these, if you want a new car.
And, of course, you will be forced to finance this change through your taxes, with the new Cash for Clunkers law, while Cap and Trade (if you let it pass) will cause more car shrinkage and insane tax burden on you than CAFE and Cash for Clunkers combined.
Forced Green = Death
Yet no expert seriously denies that smaller cars are far more dangerous than large cars. They may refuse to use those exact words, but crash test results like this are not just normal, but a question of physics.
When a car hits something, its size, weight, and the materials out of which it’s made decide how much harm will come to its passengers. This is true even when an immobile object like a fence or tree…but it’s most true when hitting a moveable object, like a deer or another vehicle. These factors determine how much of the energy goes to moving the object you hit, and how much to crushing your body.
Even if your car has a rigid steel frame (Smart cars) and crumple zones (European cars), the change in speed from hitting a heavier object will snap your body around and kill you.
So when Barak Obama and John McCain attempt to force through standards that will effectively ban the building of larger vehicles for families, they are condemning many people to death. But, they say, this is worthwhile in order to force greater fuel economy on regular people.
Efficiency is more important than human life.
In 2004, a study by Dynamic Research, Inc. found a a 20% change in the weight difference between two vehicles in a collision produced a 15% change in mortality. The motivation, of course, was to show that people needed to be forced to drive lighter vehicles; punish SUV owners by reducing the side of their vehicles…but a more rational way to look at it is that, since large vehicles (and deer, and trees) will not cease to exist, a 20% reduction in the weight of new cars means a 15% increase in the death of families riding in them.
Your Death: A Risk They’re Willing to Take
Not only will there continue to be industrial vehicles, tractor-trailor rigs, and other necessary vehicles on the road to hit your shrinking family car, and not only will the deer you hit not be on a corrresponding diet, but bear in mind that the “fleet vehicles” the politicians use are effectively exempted. So Obama, McCain, government officials, and their loved ones will still be safe in their gigantic limosines, massive taxis, and ponderous police cars, to collide with and crush we mere mortals.
Statistically, you are twice as likely to die in a small car than a larger one, during a crash…THREE times as likely, if it’s a single-car crash. That’s right; you don’t have to hit an SUV to die from driving a small car: The more your car weighs, the more it can push back against the object it’s hitting, reducing the speed at which your body is jerked in an accident.
In fact, in a recent test by the Insurance Institute for Highway Safety, smaller vehicles even proved doomsday devices in crash tests against mere mid-level vehicles. It’s not just that a smart car will kill you if it collides with an SUV, but even a normal sedan…and when the new laws are in effect, the normal sedans being made then will be death traps against one made today.
So if a Cap and Trade politician’s limosine crashes into your family car, a few years from now, you (not he) will be far more likely to die than today…but that’s ok, it’s a chance he’s willing to take.
Real Americans Don’t Buy American
When you hear those lazy, tax-dollar-stealing car company reps on the radio saying you should “buy from us, or otherwise be sure to Buy American”, don’t forget that “Buy American” is unamerican.

Not only do they rob the taxpayers, but these lazy bureaucrats want us to buy inferior cars, out of fake patriotism
The American Dream is for everyone to earn their way, NOT for people to be given an easy way out with affirmative action.
And Buying American™ in order to protect overpriced, inefficient union monopoly jobs is the very worst form of Affirmative Action.
We Americans have, for good reason, a long-standing belief in “meritocracy”, people getting what they earn, earning what they get.
Most of us have ancestors who came here because they could earn what they deserved, regardless of class, nationality, or whatever…at least compared to anywhere else.
And they passed on the kind of attitude necessary for such a tremendous move. Most of us still have a healthy dose of it, today.
And we’re in the one place in the world where we still have some opportunity to exercise it. Not as much as America used to, especially not as much as we’d like…but still more than anywhere else.
So we love this place, America, because we really do believe it’s the Land of the Free and Home of the Brave.
We love it enough that it’s hard to avoid getting suckered into tolerating, or even supporting, something completely unamerican, if it’s clothed in enough patriotic trappings.
The examples of that today are many…more than since the middle of the Cold War. But, aside from the many others which get plenty of bandwidth on the net already, there’s one which I almost never hear anyone speaking out against.
So I’m doing that, now.
Do you know who deserves to have the money for that new car you want to buy?
Whoever makes the best car in your price range. Frankly, that’s the only answer that fits with the Spirit of America.
Same with your shirt, your birdhouse, your silicon implants…whatever.
Yet some people, mostly bloated, bureaucratic corporations who make products which can’t compete on fair terms because they’re overpriced and underquality, have the nerve to tell us that it’s patriotic to “Buy American”. And because the word “American” is one we love, we’re tempted to fall for it.
But we need to stop.
If Mitsubishi and Hyundai make better cars than Ford and Chrysler, then they’re going to get more money. Then Ford and Chrysler are going to struggle. The solution? It’s for them to get off their lazy butts…and we, as Americans, are just the kind of straight-talkers to SAY that about them…and make better effing vehicles.
But if they can convince us to unconditionally “Buy American”, along with forcing us to give them billions in bailouts, then they don’t have to. They can keep making mediocre-or-worse cars. Which is what they’ve done since at least the mid seventies.
I remember an ad where Lee Iacoca leaned forward earnestly at what was implicitly his desk as a Ford executive, and said, in essence, “OK, we admit it, we have been half-assing the cars. But you taught us a lesson, so now we’re making really good cars. All you have to do is come back and try us out, we’ve decided that Quality is Job One, now.”
That was twenty-something years ago, if I recall correctly.
Just recently I saw another ad. Another car exec looking repentantly into the camera and ernestly saying something like “OK, we get it, we’ve been half-assing the cars. But you taught us a lesson, so now we’re making really good cars. We think quality is job one, now. No…really. This time we mean it.”
No, they’ll mean it when the people — who really do buy inferior cars because of emotional appeal — stop letting the FEELING of being patriotic come before the actual actions of American ideals.
I’m going to stick to being a REAL American, and you should, too.
Support whomever deserves it, because anything else is not only wrong, and unamerican, but self-destructive in the long run.
Why Nobody Wants to Bail Out Automakers (except bureaucrats)
One thing you’ll notice about the debate over bailing out the automakers is that, even more than in general, everyone’s against it except corrupt politicians, panhandling automakers, and monopolistic union officials.
That’s because it’s a lose/lose situation if we do, but things might actually get better if we don’t.
First, let’s consider the big, fat lie that three million people would be put out of work.
We’ll ignore (for a moment) that bankrupcy will actually keep them in business and let them become more efficient.
Let’s pretend, instead that the automakers would actually [poof] ceased to exist. Only a couple hundred thousand workers, not three million, actually are employed by those car companies.
If the companies vanished, then all other 2,800,000 workers would not only continue to have jobs…
(continued after the spiffy pic)

They claim three million jobs are at stake, but the bailout would actually cost jobs, and make a few union management types rich
…but probably end up with better versions of their jobs. Why? Because people wouldn’t stop buying cars, they just would be buying DIFFERENT cars. Cars that need dealers, mechanics, parts sellers, and all the other jobs that the car companies are dishonestly counting as “three million jobs”. If you don’t buy a car from the Big Three oligopoly of panhandlers, you’ll buy one from someone else, instead.
Of course foreign cars often don’t need repairs and parts as often as American cars, but THAT would represent a savings for americans in general, that would create more jobs.
But, of course, the Big Three are in ZERO danger of magically vanishing.
Instead, they’d have to file for bankrupcy “restructuring”, which would be a way to allow them to fix a lot of the stupid inefficiency that laws and bureaucracy have trapped them with, WITHOUT them having to steal twenty five billion dollars (a number that will grow) from you and me, and then have Big Brother socialize them with mandatory “changes” that don’t represent what we consumers want, anyway.
And…well, really, that’s it. There are no other excuses for squandering $500 from the pocket of every middle-class family on yet another socialist bailout. Just “three million jobs” that is really only a couple hundred thousand jobs that would not go away, anyhow.
Sure, I could point out how restructuring, instead of a bailout, would break the back of the UAW monopoly, which forces American car companies to pay nine times as much for labor as foreign car companies. And how the UAW is therefore bribing the Democrats the way the Big Three automakers are bribing the fake-Republican neocons…which might just happen to be why they are all for the bailout, when everyone else is against it.
But, really, it boils down to “three million jobs is a lie”.
In fact, it boils down to the fact that americans would probably GAIN jobs from letting GM file for restructuring, while we will LOSE jobs by squandering more money on the bailout, which will ultimately come out of YOUR pocket, and mine. When the government wastes money, we lose the opportunity to spend the money on actual, productive things that employ people.
We need more economic freedom, to regain true American prosperity, not more handouts lifted from our own pockets.