Give Us A Break Already!

Not enough that the Government of Canada, at the urging of the opposition parties, alongside those of the automobile industry and the unions whose workers swallowed pride and anger to accept back-tracking on advances, succumbed to investing a huge whack of tax dollars in shoring up General Motors and Chrysler.

Of course, Canada is also in lock-step with the United States on this one, partnering their decision to take partial ownership of vehicle manufacturing.

The United States has gone even further, in setting up a "Cash for Clunkers' program that proved wildly popular with the American vehicle-acquiring public, flinging more tax dollars into that vast pit of heritage debt. Little did American legislators know quite how popular that would be, as funds allocated rapidly disappeared, with additional funding miraculously appearing to continue to please the car-buying public.

A country that believes it would be too fiscally injurious to enact legislation to ensure that all Americans would have adequate medical insurance coverage, celebrates its stimulus-clever tax funding of new vehicles. The "buy American" provision seen elsewhere in stimulus packages for infrastructure, however, didn't kick in for vehicles.

So a large proportion of vehicles were not those of the Big Three, but rather Japanese quality-produced vehicles, and Canada had the benefit of that. Not good enough for the five carmakers with assembly plants in Canada, however; they collectively have urged the federal government to institute a mirror-image of the U.S. "Cash for Clunkers".

For that twofold purpose; to help the environment by getting gas guzzlers off the road, and to stimulate new-car purchases to help the struggling economy. Amazing that SUVs continue to be the vehicles of choice, under those circumstances.

And common sense that the government of Canada has calmly stated it is confident in its current 'Retire Your Ride' scrappage program. The difference being a $300 cash incentive as opposed to the $3,000 cash rebate so beloved of vehicle manufacturers.

Good on Jim Prentice, the Minister of the Environment who so succinctly stated priorities: "The thinking on this has been measured against the original objectives for the program", retiring polluting cars, not funding for manufacturers to sell new cars.