45% – Yep, it was a short term “hit”
by Tom on October 1, 2009
in Market Musings
Wow, this report tells me a couple of disturbing things:
- The only reason that people were buying cars in August was because they were getting free money from the government.
- Do you think that people trust the government bailouts of Chrysler and GM? GM’s sales dropped by 9 TIMES the amount that Ford’s sales dropped. Chrysler was better, they ONLY DROPPED 8.5 TIMES what Ford dropped. Had lunch with my Dad today and he’s thinking about replacing one of his cars. After owning a GM car for, well, let’s just say I remember him buying a 1976 Buick LeSabre brand new, he’s not even considering GM any more. “I just don’t trust them.”
- If car sales spike when the government throws cash at people and then plummets again, shouldn’t we take that into consideration when we’re talking about the housing tax credit issue? We’re becoming a society that only moves when the government subsidizes it. That’s dangerous.
Be careful, be very careful…..
Tom Vanderwell
GM’s Sales Slide 45%; Chrysler’s Fall 42% – WSJ.com
BY JOHN KELLGeneral Motors Co. said its September sales plunged 45% from a year earlier and Chrysler’s fell 42%, while Ford Motor Co. saw a much more modest drop of 5.1%. All three were hurt by the industry’s weakness after the expiration of the U.S. government’s “cash-for-clunkers” program.
GM, the largest U.S. auto maker, said it sold 156,673 cars and light trucks in September. It said that figure represents a 36% decline from the prior month.
Technorati Tags: Car Sales, Cash for Clunkers, Stimulus
