Wednesday, August 12, 2009

An experiment in bubble economics?

Car buyers flocking to trade in their clunkers have stripped dealerships of inventory over the past two weeks, giving automakers a signal they have eagerly awaited: It's time to make more cars.

...and those cars will arrive just in time for the "cash for clunkers" program to end, re-filling all those dealerships with cars they can't move without heavy discounting. My guess is that Uncle Sam won't pass out the discounts next time around.

Posted via web from Team Frosick

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