Money spent, but the benefits are unclear

Transactions are concluded, the new cars are already in the garage or are washed and prepared for delivery to purchasers. Preparation of a final evaluation of the consequences of the „cash against lizzie, worth $ 3 billion, but will take longer than a few weeks or even months, said the online edition newspaper Detroit News.

According to the preliminary assessment of the Council of Economic Advisers to the White House program has helped to create or maintain 21 000 jobs after a short life of only four weeks led automotive companies to increase production and introduce additional shifts.

How long will however continue to impact the program will continue and Americans to buy?
Through the program, which lasted less than a month, the government has attempted to intensify the demand of the automotive market, handing out bonuses from 3500 to 4500 dollars to owners of older vehicles with high fuel consumption, buy that new, more efficient models. Under the scheme, until yesterday morning have been sold 625 000 cars a premium for a total 2.58 billion dollars.
Program officially ended on Friday morning at 3 pm local time. According to forecasts of economic advisers to the White House program will lead to economic growth by 0,3 to 0,4 per cent in the third quarter. However, the Council acknowledges that it has led Americans who are already planned soon to buy a car, make it this month. „Changing the period during which will be reported strong demand, is invaluable when the economy is in recession, as the likely future situation in the labor market will improve,“ the counselors.
The next challenge for manufacturers is to keep the already high production level in the fourth quarter, fill poizpraznenite stores.
Early yesterday morning over 20 000 car dealers have sent requests for payment of premiums for purchased hundreds of thousands of cars and computer system that serves the program blocked for several hours because of too strong traffic.
The ratio of sales to the „big three Detroit“ experienced the program is below their market share. Total three companies – General Motors (General Motors), Chrysler (Chrysler) and Ford (Ford) – have sold only 41 percent of the purchased cars this month, which is 4.1 percent below the overall market share. The main reason foreign car manufacturers to perform better than the U.S. is that they „make smaller cars,“ the experts. General Motors and Chrysler were affected by the fact that we had to suspend much of its manufacturing facilities during the summer months while proceedings were in bankruptcy, which led to shortages of some models of their low fuel consumption.
Among the 10 cars that are bought most of the program, 54 percent were manufactured in the United States, but some of them – from foreign companies, said the Ministry of Transport. Introduce similar programs in other countries, like Germany, took care to bring the benefit of local motor vehicle companies, notes the publication.