Monday, August 3, 2009

Why Cash for Clunkers is BAD for America?

Michael Pento has hit the nail right on its head:

To even propose such a plan is to ignore the catalyst for what brought the global economy to its knees. If one realizes that debt, inflation and lack of production were the illness, how can more of the same be the prescription? How can an economy that has a record amount of debt become healthy by borrowing billions more from the Chinese to buy vehicles made in Japan? Again, we misdiagnose the problem by believing it is a reduction of borrowing and consuming that needs to be reignited.

Full article here