June 10 2009
The 'Cash for Clunkers' program currently being considered by Congress is receiving some negative feedback from the Independent Women's Forum.
Congress is considering a bill that will reward people with vouchers to purchase new cars if they trade in their "gas-guzzlers" for vehicles that get better mileage. Under the legislation, consumers could get up to a $4,500 voucher.
Allison Kasic of the Independent Women's Forum says the program has a steep price. "This is estimated to cost taxpayers up to $4 billion. I think there is [sic] a lot of problems in the way it's set up, but just in general we're adding on just another couple billion of government spending to an already increasing budget," she notes.
She is not sure where the money will be pulled from, but says the government basically has three options: to increase taxes, to borrow money, or to print more money and cause inflation. Kasic also argues that the program would only benefit wealthier Americans who can afford the more-expensive cars because even with the voucher, many Americans cannot afford cars with a price tag of $20,000 or more.