Cash for Clunkers Goes Thud

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By Conor Clarke (The Atlantic) Cash for Clunkers Goes Thud ... a critique of the scrappage scheme, and why it is not as bad as it might be, but still not good.

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Most of the cars that are currently donated to charity will now be eligible for a voucher under the cash for clunkers program. Since the tax deduction for donating a car is $500 or what the car sells charities won't be able to compete with the program and charitable car donation will end. A better idea is to just change the amount a person can deduct for donating their car back to the book value. That way every car is eligible, the government doesn't have to spend $4 billion of our dollars giving away vouchers and trying to administer a program that is way too convoluted!

David Levinson

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This page contains a single entry by David Levinson published on June 20, 2009 3:05 PM.

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