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THE government’s “Cash for Clunkers” program was worth the expense, despite some sputtering.
At a time when auto manufacturers and dealers needed a boost, they sold nearly 700,000 vehicles. The government encouraged sales by offering vouchers of up to $4,500 for consumers who traded in gas guzzlers for more fuel-efficient cars.
Pennsylvania finished sixth, with $138.7 million worth of rebates; New Jersey was ninth, with $103.4 million. That means nearly 60,000 new cars with better gas mileage are on the road in both states.
The program accomplished what it was designed to do – get consumers back into showrooms and spur sales of new cars.
The environmental and energy-saving aspects are significant, too. The average vehicle traded in got 15.8 mpg; the average new car sold gets 24.9 mpg.
The government has been too slow to reimburse dealers, and there could be a sales slowdown now that the rebate program has ended. Still, overall, “Cash for Clunkers” did what it was intended to do. And that means it was a success.