Unintended Consequences-VIDEO

Here's a new video from National Inflation Association

www.inflation.us

This video focuses on the Cash for Clunkers program and goes on to talk about how all government spending is inflationary. Whether we realize it or not,these government programs not only encourage Americans to destroy assets in exchange for more debt (which is the key to keeping the whole wealth illusion going)but also leaves tax-payers stuck holding the bag when it comes time to pay back the funds that were used. Inflation,as admitted in the video by Mr. Bernanke,is a form of tax. Simply outrageous.

The whole Cash for Clunkers program created a herky-jerky nightmare of opportunity and crisis in name of creating what turned out be nothing more than a negligible stimulus of the economy. The insurance companies and car manufacturers see a rise in revenues while secondary car markets suffer and the price of used car parts goes through the roof basically forcing people to give in and buy a new car they can't afford.

This is insanity at it's best. The government favored the pathetic car companies desires to sell more new cars at a time when it would've been much more prudent to support the second-hand car market.

The video addresses many other issues concerning how government regulation is destroying America from within from, you guessed it, unintended consequences of it's already destructive, wasteful spending. Unintended? Really? I think not. I think the government in collusion,with it's masters,the corporations knew exactly what it was doing and didn't care. Nothing more than desperate attempts(Hail Mary) at doing whatever it could to stimulate a dying economy.

Ohhh yeah, that hits the spot. It is great to see some media integrity starting to make its way back into the system. Well done.

I, for one, must take exception to the premise of the video. I participated in CFC. I traded in an SUV (yeah I know sorry, but I used it to pull a trailer/boat) which got 16mpg. Yes, it was paid for. I traded for a smaller vehicle which gets 27 mpg and paid cash for it. I incurred no debt and had put that money aside specifically to purchase a new vehicle. The net gain was a newer, safer more fuel efficient vehicle which SAVES me money on fuel costs.

I simply don't buy the stretch that used car thefts spiked as a result of CFC since after market suppliers would still exist. Additionally, I recently took advantage of upgrading a few old appliances to more energy efficent models through another Government rebate program.

While my argument may appear weak, I was pleased to participate in both programs in an effort to conserve fuel and energy consumption. The video did not compel me to believe otherwise.

Just my .02¢

reply to post by kinda kurious


I understand your point and I'm glad to hear you benefited from it. The thing is that after-market OEM parts can still be quite expensive. People in a money crunch would rather go to their local scrap yard to get them cheaper even if they are used. If they intentionally killed the motors using sodium silicate,then that effectively kills off a huge after-market forcing people (wrongly) to go out and steal whatever they need.

If someone is so poor that they have to maintain their 20 or 30 year old car themselves on a shoe-string budget,then you can see where theft of parts which are now harder to find or afford would increase. Remember,not everyone is willing to take out a loan or has the cash to plop down on a new car. Times are getting quite desperate for many.

He benefitted individually but: like the common peakoil discussion: if we scrapped the entire internal combustion engine ( ice ) fleet to swap for new hybrids we would not have the energy resources to do it. it would cost more energy in production than it would save.in mpg /emissions.

Ontopic: Every time govt diddles with the economy or society in general it inadvertently screws up something. That's why collectivist central planning scares me to death.

Good thread OP. I seen this as they were preaching this will save us crap. I then said it will kill the used car dealerships and just cause good cars not clunkers to be junked. It was a stupid move once again from the corrupt government feeding the wealthy and stealing from the poor.

I can`t afford a new car and have always relied on getting used cars and parts. There are many cars out there that should have been given the chance to trade their clunkers for those cars traded in rather then to be just destroyed like that.