Cash for Buying American? Your Thoughts?
Today we hear just how much the Cash for Clunkers plan boosted car sales. America’s August car sale numbers are expected to be way up.
A question: Would you be in favor of a government rebate for someone who buys a fuel efficient American car? Sort of a ‘cash for buying American’ plan?
Some argue the government has waded enough into the free market. And that such a protectionist move would be unfair to foreign auto makers who make a whole lot of cars here in the US (and employ a whole lot of Americans). But the lesson of Cash for Clunkers is arguably that there are ways to craft a stimulus to achieve multiple goals (relief for the consumer, car dealers, car makers, and environment).
With the goals of helping American car companies and promoting fuel efficiency would this be worth a try? Thoughts?
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What is “American” anymore? Today, corporations hold no allegiance to any government. They are global entities, and they are out only for themselves, and not for any country.
Posted by: Rick McDaniel | September 1, 2009, 1:49 pm 1:49 pm
Thinking of American workers for a change, yes.
Posted by: Igor | September 1, 2009, 2:21 pm 2:21 pm
Well, I’ve commented many times about buying American..I wouldn’t buy an imported Japanese/Asian car, ever. They may be cheaper but you do get what you pay for. Buying American keeps the profits in this country. Ford, GM, Chrysler are good cars. I realize that many Japanese companies have plants in this country and do employ Americans. But if we bought American in the first place we’d not have lost an entire industry to Japan. Our economy is suffering it’s totally wrong to buy an imported car anytime but especially in these tough economic times.
Posted by: Sharon | September 1, 2009, 2:33 pm 2:33 pm
NO!! Not now, not ever again. The money belongs to the people, and it’s not for redistribution. If American workers produced more quality competitive products without having to resort to having huge tariffs on imports, it is a consideration when buying. But, when our taxes have to prop a failing enterprise; let the enterprise fail. We all make choices; and we live with them – at least most of us do – we aren’t in line for another handout; and we get off our dead butts and go to work.
Posted by: BeanerECMO | September 1, 2009, 2:35 pm 2:35 pm
Okay, look at it this way, so we let them all go broke. We then have to purchase all of our vehicles from Japan as they are the only ones producing cars now. So you do you actually think the prices will stay low? Where were you raised, under a rock? Then those car makers decide to change the way things are done, they decide to make all the cars in Japan. We would have no choice but to buy them since we have no car companies here in the U.S. Sorry this isn’t smart. Buy American
Posted by: Sharon | September 1, 2009, 3:00 pm 3:00 pm
Build cars that people want to buy and it’s a moot issue. Many of the parts are built or assembled outside America so are we really getting what we think we are anyway? It seems no matter where I go in the U.S. and even Europe I look at the tag and it’s built in China, Mexico, or Taiwan. It’s getting almost impossible to buy American anyway.
Posted by: Martin | September 1, 2009, 3:10 pm 3:10 pm
I have a Prius, which I bought in 2001 after testing American cars. There were no American-made hybrids… I looked. American manufacturers were greedy and short-sighted, and produced nothing I was interested in. Now they’re bragging about 30 mpg/hwy. I get 48-50 mpg/hwy and paid less money. I say let the market rule. They snoozed, they lost.
Posted by: Carol B | September 1, 2009, 3:12 pm 3:12 pm
I am a firm beleiver in buying American products, I also know that a lot of Toyotas, Nissans, Mazdas, and other Foreign Companys that manufacture cars have operations here. But the american companies, have let the auto unions dictate to them what they will work for driving up the cost of the American Car products….The Foreign Car companies have not bowed to that pressure, and therefore have maintained a lower cost for their products….So if the government wants to subsidize the american auto industry, they should deal harshly with the unions, by putting them inline with other foreign auto makers for wages and benefits. I worked for a fortune 500 company for over 30 years, in various skilled, and responsible positions, and never during my work history did I receive an average of $73 per hour for wages and benefits…In fact my maximum compensation at the time of my early retirement (due to my job being sent off shore) including wages, benefits, vacation, retirement, insurance, and other compensation was not over $35 per hour… so why do the auto workers think they deserve $73 dollars average compensation packages…We the american people have cut our own necks, due to greed… I do buy American when possible, but that is getting hard, due to the amount of products being imported from China by Wal-Mart, Home Depot, and other large chain stores, but they have done this in an effort to put more money in their pockets, by being able to sell cheaper, and increase profits, again GREED….rules…and we the american people let it continue…and participated in it….
Posted by: Stan | September 1, 2009, 3:38 pm 3:38 pm
I need a job. Stop taking our money in giving it to a few that had money to buy a car in the first place. I hear they have to pay taxes on this rebate money.They certainly didn’t help the environment too much compared to how much gasoline we use in the US for one day. Auto sales will go back down if they don’t produce more jobs.
Posted by: Constance | September 1, 2009, 3:43 pm 3:43 pm
One step closer in an attempt to keep the USD inside the US consumer market but it is too late. Buy a Chrysler minivan and you end up sending USD to Canada. Buy a Toyota made in the USA and you end up sending USD to Japan. Migra-dollars going to Mexico… Look at the parts content of any automobile sold in the US and again you see USD flowing out of the U.S. economy. There are very many ways that the USD is being siphoned out of the U.S. but at least the status-quo is beginning to realize one of the core problems. (but only because the status-quo is running out of targets to exploit) Protect the U.S. economy? Don’t be silly. The U.S. economy is a wreck and getting worse. Why would anyone want to protect such a disaster? Oh wait, it’s because “If you are not part of the solution, then there is money to be made from prolonging the problem.” Carry on then.
Posted by: Robert | September 1, 2009, 3:47 pm 3:47 pm
I think we should buy American when I was growing up everything was made in America very few things other than toys were made in China or Mexico now it seems everything we pick up nowadays is made in another country. Whatever happened to the pride of owning something made in America? When did we become so petty and cheap that we decided buying American was no longer necessary? Can we get our pride back?
Posted by: suztoy | September 1, 2009, 3:50 pm 3:50 pm
We should all support American products…what there is of them.
Posted by: Maxine | September 1, 2009, 3:56 pm 3:56 pm
Good thinking, pride in American purchases…we should all have that country allegiance..But what is bother me is if they wanted us to purchase American vehicles why didn’t the cash for clunkers have an addendum or a caveat specifying that if you bought an American vehicle you received a better price. Wasn’t this the reason for the cash for clunkers in first place? Do you ever wonder why we aren’t running this country?
Posted by: Sharon | September 1, 2009, 4:02 pm 4:02 pm
I would settle for cars assembled in the US.Or in case it happens,for cars assembled somewhere else from parts made here.(rather unlikely)
Posted by: Allan birmantas | September 1, 2009, 4:28 pm 4:28 pm
“buy american” died years ago. In order to promote a true free market and boost domestic auto sales, the “brand” shouldn’t matter. The focus belongs on fuel efficiency. Ford, GM, Chrysler, Toyota, all make cars TODAY, for the European market, that are MUCH more fuel efficient than the ones they market here. The mindset is that Americans don’t care. Well, that’s where the government “rebate” can help. The automakers need to market to US the same choices they market overseas. Perhaps they wouldn’t be in as much trouble as they are if they had done this a few years ago…
Posted by: Jacqui | September 1, 2009, 5:47 pm 5:47 pm
I am not sure where this idea came from, but it won’t work. There are often unintended consequences to forcing things like “buy American”. Everyone has the opportunity to “buy American” whenever they want, including the “cash for clunkers” program. If these loyal Americans are not doing it, there must be a reason.
This would just be another government intrusion on the free market. It would certainly cause retaliation by foreign countries and we would likely be violating the trade policies we signed up to.
Bad idea.
Dennis
Posted by: Dennis | September 1, 2009, 6:41 pm 6:41 pm
I could not support it because the last round of rebates reported flat sales. In other words, the only people who used the rebates were the ones who were going to buy a car anyway. It did not boost sales. We also have the problem of what really is American anymore?
Hybrid technology is only leased from Japan. My husband is an auto mechanic and when he orders car parts, they come back as made in China or Taiwan usually. Is it even possible to buy American? I’d rather see tax breaks to companies that promised to expand here in America. No one will recover until people are working again.
Posted by: joni | September 1, 2009, 7:25 pm 7:25 pm
So, buy American? How about a Ford – but Ford Focus cars, one of the most popular in the recent Cash for Clunkers program, is built in MEXICO. ????? This preserves American jobs? I drive Volvo cars. I am on my family’s 12th. It is not reasonable to buy an American car when you are living in Europe – and that is what my family did. Currently my older brother is driving a Toyota truck (manufactured in Texas), his wife a BMW X3, my younger brother an OLD BMW (he’s had it since 1973), my nephew a Saturn, his wife a Honda Civic (both manufactured in the USA), my niece a Honda Accord and a Honda Odessey (with 3 little boys in car seats it takes a minivan). Most of these cars DO provide AMERICAN JOBS – whereas the Ford cars made in Mexico or Canada do not.
Furthermore, buying the car is just a very small part of the jobs produced with a car. My cars have been maintained by the same independent mechanic for about 20 years, and he employs his brothers, nephews, and cousins in a family enterprise. Best mechanics I’ve ever found – and this directly provides American jobs. So, before you cry from the lectern about “buying American” – think about what you are saying!
Posted by: melinda ayers | September 1, 2009, 11:59 pm 11:59 pm
I took advantage of the cash for clunkers program thinking I was helping the American worker. I dumped a 1995 BMW 740iL for a 2010 Ford Fusin Hybrid to find out it was made in Mexico with a Japanese Transmission as well as the
battery pack from China…Sorry American worker..Great car though..
Posted by: George Cole | September 2, 2009, 10:04 am 10:04 am
Buying American does the following:
Economic –
even with contraction of the U.S. auto industry there are 3 times as many American Auto jobs than foreign auto jobs. More of your money gets spread through the economy. Likewise, how much does it cost us to pay for unemployment compensation, welfare, etc?
Technology –
Many u.s. manufacturers also are leading suppliers to our national defense industry. History has proven, over and over again, that the leaders in technology translate to leadership in world economies.
Less and less college students are going into engineering fields because the jobs and salaries are not there. Our smartest are going into Marketing and business.
National Security –
Would you want our tanks, armored vehicles developed by Japan or China? What would happen if we are hit with another terrorist attack. If we were thinking about retaliation would we need to ask permission from these nations? Also, I worked in the defense industry and when we sold fighter planes to other nations we NEVER gave them the latest technology, even our allies.
I will always remember this quote from a talk radio host during the 80’s when there was a debate about our economy going from a manufacturing economy to a service based economy. He said, “What are you going to do when the Soviets come charging across the border, throw Insurance policies at them?” We can now substitute Al Queda for the Soviets.
Posted by: DemandSide | September 2, 2009, 10:57 am 10:57 am
Definitely not. Protectionism will only bring the same from other nations. We’ll end up with an isolationist economy and mindset. When products made in America offer value, Americans will buy them. What the government should do is promote innovation and green technology- that’s how we’ll compete in tomorrow’s world.
Posted by: Ken Larsen | September 2, 2009, 11:32 am 11:32 am
I don’t believe that I’ve seen an issue addressed on this platform where every view is so spot on. Myself, I’ll continue to buy American (companies) and that’s all I can do. It’s like giving to third world programs and people say that much of those funds are being extorted… I know that I’m trying to do the right thing… perhaps our maker will sort it out. The complaints about Ford and the like outsourcing to other countries well… they had no choice in the name of competition… or they would have expired even earlier. Personally I do not believe that there is enough difference in quality or longivity to make the decision difficult as opposed to buying foriegn in these difficult times. I believe most foriegn car buyers do their buying in spite and I also believe that with the American auto industry gone, it becomes a national security issue.
Posted by: GoBlue | September 2, 2009, 1:59 pm 1:59 pm
Most of these cars DO provide AMERICAN JOBS – whereas the Ford cars made in Mexico or Canada do not.
With all due respect Melinda, Canada and Mexico are our neighbors and obvious allies. A prosperous Mexico and Canada are good things for America. They buy from us as well… what do you think those Asian countries buy from us… grain, wheat, oats all subsidized by Uncle Sam(that’s you and me)and next to nothing more.
Posted by: GoBlue | September 2, 2009, 2:10 pm 2:10 pm
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Posted by: American Auto Insurance | September 14, 2009, 5:16 am 5:16 am