AN INTERESTING ECONOMIC ANALYSIS!!!!!!
A vehicle at 15 mpg and 12,000 miles per year uses 800 gallons a year of gasoline.
A vehicle at 25 mpg and 12,000 miles per year uses 480 gallons a year.
So, the average clunker transaction will reduce US gasoline consumption by 320 gallons per year.
They claim 700,000 vehicles – so that’s 224 million gallons / year.
That equates to a bit over 5 million barrels of oil.
5 million barrels of oil is about ¼ of one day’s US consumption.
And, 5 million barrels of oil costs about $375 million dollars at $75/bbl.
So, we all contributed to spending $3 billion to save $375 million a year.
Question:
Is this type of Obummer Leadership why our government is going broke???
(Also makes you wonder about their claim that they can fix health care at no additional cost)
Is this why the Brits coined the Phrase: "Penny Wise & Pound FOOLISH"???
I have been a Mechanical Engineer & Know for certain the Auto Industry has been screwing the Public for Years. I drive an '82 Full Sized Blazer w/V-8 (that I Re-Built) & the wife a '03 Trailblazer (much smaller & lighter) w/straight 6 cyl.. Why after 11 years (of innovations?) do they both get the SAME GAS MILEAGE (23 hwy.) if not a "Conspiracy"???
Why should the Govt. give them ANY HELP???
John