This week end, Americans rushed to auto dealer showrooms to get their clunkers which were responsible to generate $2 billion sales. The government sponsored cash for clunkers which offered rebates up to $4,500 for trade in for old guzzlers.
The cash for clunker program is finally over except for the paperwork. The program that ended at 8PM (EDT) Monday saw hordes of old empty cars, pickups, SUVs and old guzzlers lined up in front of auto dealers. The once hesitant customers to go for new vehicles were lured back to buy new vehicles by the $3 billion rebate program.
In all the four dealerships of Maguire Auto Group, New Jersey, there were lines of customers waiting to avail their clunkers. The timings were extended till 8 PM on Saturday to facilitate customers to take advantage of the program.
For the auto dealers, this was literally the best weekend after a period of two years. Some dealers sold over 58 new vehicles in a single day. The trade in rebate program had started last month to promote sales in the struggling auto industry and at same time save the environment. It provided rebates $3,500 to $4,500 to trade in their old cars which had low mileage for new, more efficient ones.
According to White House Council of Economic Advisors, cash for clunkers program would boost US economy by 0.4% in the third quarter for this financial year.