This well-publicized government program needs little explanation. If you have a licensed motor vehicle getting under X miles per gallon, then the government will give you $4,500 if you buy a vehicle that gets greater than Y miles per gallon. This program stimulates vehicle sales, saves automotive jobs, redistributes wealth and whatever else arguably good or bad. No doubt the program is helping sell new, more efficient cars. There’s a stipulation that any vehicle brought in for the $4,500 must be destroyed. This is causing some consequences that probably were never considered by those who started the program. Or if considered, then dismissed as not important. Perhaps not important is correct, but I think otherwise.

Once the program ends, there will be fewer  inexpensive used vehicles available. Nor will there be used parts at reasonable prices, since the program vehicles were all destroyed. Those who can’t afford to buy new cars won’t have many other buying choices. New sales now, not so many later. More expensive replacement parts later, if parts are available at all. It will be interesting to see whether what’s happening now will end up offsetting these future problems.