We knew this was coming, of course, but do we really need to re-hash the entire list of failings of the Cash for Clunkers programs and extrapolate it to other industries? I guess we do, so here goes. Cash for Clunkers was...Starting early next year, the government will initiate Cash for Clunkers Extreme Home Appliance Edition.
Reports WaPo:
Supported by $300 million from the economic stimulus, the program will offer rebates to consumers who buy energy-efficient refrigerators, dishwashers, air conditioners and other appliances to replace their older models.
...
The appliances program may be destined to continue the debate. For when it comes to stimulus, timing can be critical, and the implementation of the effort has dragged on, possibly diminishing its usefulness.
Although the $787 billion stimulus program was signed by Obama in February of 2009, much of the cash-for-appliances money won't hit the streets until next February, March or April.
The government wants to stimulate the economy by shifting consumption from the future to the present. But they are telling folks that if they just hold out until next year, they will get paid for replacing their old appliances. Sounds like a sure-fire way to suppress consumption to me.
... unsustainable and lasted precisely as long as the 'stimulus' money did
... a $3,500-4,500 subsidy that actually cost taxpayers $24,000 (or as much as $45,000, depending on who you ask) for every car purchased
... simply shifted purchasing from one timeframe to another rather than prompted new purchasing, thus looking like a solution while actually causing suppressed purchasing later
... a waste of 58% of every taxpayer dollar spent on it
... a great benefit to foreign auto makers, not domestic auto makers
... considered a taxable subsidy in several states
... a major pain in the butt for participating dealers
But yes, by all means, let's definitely do the same thing for appliances.
There's my two cents.
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