READ STORY HEREAutomakers rave, consumers line up but the hundreds of thousands and the Obama administration claims it will save jobs and rev up the economy. Nearly a billion dollars spent with potentially billions more on the way most American’s views on “Cash for Clunkers” however remain unchanged.
Rasmussen who previously released the results of a poll had not tracked public opinion on the topic since mid-June. Their figures indicated considerable resistance to the program. 54% opposed “Cash for Clunkers” against just 35% who supported the plan, but as previously mentioned the Rasmussen data was collected before the program had a chance to reveal any success or failure.
A month an a half later however the latest poll findings reveal a majority of Americans (54%) now oppose any more government funding of the program past the $950-million already spent. Just 33% think that “Cash for Clunkers” should be extended. The fate of the program now rests in the Senate having already culled enough votes in the House for increased funding. Interestingly now having seen the plan in action a plurality of Americans claim the program to have been “a good idea”. The 44-38% positive to negative split flies in the face of majority opposition to extending the program according to the Rasmussen survey.
Automakers are strongly unified in their support for the “Cash for Clunkers”. From their standpoint the program has already been a huge success, driving up profits while implementing an environmental upside that functions like rocket fuel for an otherwise dismal auto industry.
Not everyone is convinced of course. In addition to the majority of Americans who were leery of the program from the outset and now oppose any extension, Congressional Republicans and conservatives in the media are quick to criticize. The program, they contend, creates little more than artificial demand. While most are surprised and pleased to the speed in which “Cash for Clunkers” has taken off, it would appear to some that these create only short term economic benefits balanced against more reckless spending by the government.
It would seem “Cash for Clunkers” has inspired at least a minor surge in consumer confidence which according to Gallup has currently reached its highest level since early-June. The same poll however alludes to the decline in weekly spending, half it what it was a year ago, as the major economic concern moving forward.
Rasmussen who previously released the results of a poll had not tracked public opinion on the topic since mid-June. Their figures indicated considerable resistance to the program. 54% opposed “Cash for Clunkers” against just 35% who supported the plan, but as previously mentioned the Rasmussen data was collected before the program had a chance to reveal any success or failure.
A month an a half later however the latest poll findings reveal a majority of Americans (54%) now oppose any more government funding of the program past the $950-million already spent. Just 33% think that “Cash for Clunkers” should be extended. The fate of the program now rests in the Senate having already culled enough votes in the House for increased funding. Interestingly now having seen the plan in action a plurality of Americans claim the program to have been “a good idea”. The 44-38% positive to negative split flies in the face of majority opposition to extending the program according to the Rasmussen survey.
Automakers are strongly unified in their support for the “Cash for Clunkers”. From their standpoint the program has already been a huge success, driving up profits while implementing an environmental upside that functions like rocket fuel for an otherwise dismal auto industry.
Not everyone is convinced of course. In addition to the majority of Americans who were leery of the program from the outset and now oppose any extension, Congressional Republicans and conservatives in the media are quick to criticize. The program, they contend, creates little more than artificial demand. While most are surprised and pleased to the speed in which “Cash for Clunkers” has taken off, it would appear to some that these create only short term economic benefits balanced against more reckless spending by the government.
It would seem “Cash for Clunkers” has inspired at least a minor surge in consumer confidence which according to Gallup has currently reached its highest level since early-June. The same poll however alludes to the decline in weekly spending, half it what it was a year ago, as the major economic concern moving forward.
Wall Street continues to celebrate with its best July since 1997 and theWe will know shortly whether or not “Cash for Clunkers” lives to see another go-round. The long-term economic benefits of the program however will not reveal themselves so quickly. Could this finally prove to be the road to recovery the automotive industry needs and a lasting economic boost for an ailing economy at large? Or will it turn out to be a clunker of program?
S&P's first closing above 1,000 since last November. Auto dealers and auto
companies enjoy sharply higher sales as a government stimulus effort ("cash for
clunkers") finally got consumers into the showroom. Still, even as consumer
confidence improved, consumer spending behavior declined, suggesting Main Street
has missed the party -- at least, to this point. – Dennis Jacobe, Chief
Economist (Gallup)
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