Much has been written about the Cash-for-Clunkers program, where people are given money by the federal government to trade up their older cars for newer models. The initial $1 billion likely will be increased by another $2 billion.
The press reports reflect hundreds of thousands of people purchasing new vehicles under this program. But that really is a misstatement.
Hundreds of thousands of people became new vehicle owners, but tens of millions of taxpayers funding this program made the purchases, at least in part.