Clunkers program robs Joe to pay Jane

Mark E. McKenzie, Las Vegas

Sunday, Aug. 9, 2009 | 2:04 a.m.

I would like to respond to recent letter writer Robert Blanner and others who are upset over criticism of the Cash for Clunkers program. Mr. Blanner says Republicans who question the ability of this program to stimulate the economy are “the Party of No” and care more about the party than people or the country. But the Cash for Clunkers program is nothing more than a magic trick designed to make people feel good.

When taxpayer “Jane” goes to the dealership to buy a new car and the government gives her $3,500 toward the purchase, where does that money come from?

It is taken from taxpayer “Joe” and is given to Jane. It is a zero-sum game. Jane is now $3,500 better off and the car dealership, the manufacturer and the autoworkers all benefit. That is easy to see. What is unseen are the people hurt by this Ponzi scheme. Joe has just that much less money to spend and the butcher, baker and candlestick maker whom Joe would have spent his money with are all worse off.

Why are the automakers more deserving of this preferential treatment than the butcher and his friends? The answer is “lobbyists,” but that is a letter for another day. Please, Mr. Blanner, do not hate those of us who are burdened with common sense when we call out the emperor for having no clothes.