Cars industry was the first victim of the economic and financial crisis that touched United States of America and the world months ago, many specialists said that the band GM which is considered as a symbol of America as McDonalds and Coca-Cola were dying and are in their way to disappear. Even that Barack Obama’s administration spent huge money to finance and save these industries, they faced a serious campaign from the republicans who accused Obama’s administration by trying to influence and control the citizens of the United States of America.
Due to the bad situation of the US cars industry and the redundancy of thousands of workers from factories and after sale services, some mad Americans were so angry that they put pressure on selling Japanese and European cars, and also carrying out new rules making the sale of fancy and big American cars too much easier, but the high prices of oil made their efforts gone without a big impact on the market as the American cars consume much oil and also the maintenance coast is a bit higher. And as a reaction, in many American cities especially in the state of Michigan, the capital of the American cars industry, people were too angry about the Japanese and European cars, they were destroying these cars and they write down: ” Don’t buy stranger’s cars, be loyal to your country and buy an American car to save thousands of workers! ”
Rescue the US Cars market: Cash for Clunkers program
Obama’s administration had to do something and they hired an army of specialists in the cars industry and it’s marketing plus others in risk management and they organized a big camp to all these people asking them to find a solution to this worldwide concern. It did not took take too long to find a solution, after two weeks they announced a new program called ” Cash for clunkers ” . It’s a program asking all Americans who owns old and ancient cars consuming too much oil or not working at all, to sell their cars to car shops for prices among $3500 and $4500, and that’s in exchange to buy a brand new car with low interest rates, varying between 3.99% for Japanese and European cars and 0% for the American cars. Yes, 0% for all the American cars to encourage people to buy new models, and most of them environment friendly and work with oil and solar energy or electricity by using cheap and smart batteries.
This program achieved a big success that was not expected, which encouraged the congress to accept to expand and collect an additional budget of $2.000.000.000 to encourage people to get rid of their old cars that got bought by companies specialized on recycling these cars and selling them in international markets, and buying brand new cars allowing the cars market in the United States to survive the recession. People were willing as they found the idea of selling their old cars and exchanging them with luxurious cars from the three big producers: Ford, GM and Chrysler.