Alan Blinder proposes an economic stimulus measure that’s good for the environment as well: subsidized repurchases of aging, inefficient cars and trucks, targeted to the low-income households that need the money the most.
…a fourth possible goal. By pulling millions of old cars off the road, Cash for Clunkers would stimulate the demand for new cars as people trade up. It need hardly be pointed out that our ailing auto industry, like our ailing economy, could use a shot in the arm right now. Scrapping two million or more clunkers a year should help.