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# Thread: Cash for Clunker math

1. ## Cash for Clunker math

Think of it this way: A clunker that travels 12,000 miles a year at 15
mpg uses 800 gallons of gas a year. A vehicle that travels 12,000 miles a
year at 25 mpg uses 480 gallons a year. So, the average Cash for Clunkers
transaction will reduce US gasoline consumption by 320 gallons per year.
They claim 700,000 vehicles so that's 224 million gallons saved per year.
That equates to a bit over 5 million barrels of oil. 5 million barrels
is about 5 hours worth of US consumption. More importantly, 5 million
barrels of oil at \$70 per barrel costs about \$350 million dollars so, the
government paid \$3 billion of our tax dollars to save \$350 million.

We spent \$8.57 for every dollar we saved.

I'm pretty sure they will do a similar great job with our health care.

2. [QUOTE=FF2®;3953652]5 million barrels is about 5 hours worth of US consumption. [/QUOTE]

Holy.

F*cking.

Sh*t, Batman :eek:

3. If we could harness cow farts we could be energy independent ad infinitum. Seriously. You can look it up.

4. [QUOTE=FF2®;3953652]Think of it this way: A clunker that travels 12,000 miles a year at 15
mpg uses 800 gallons of gas a year. A vehicle that travels 12,000 miles a
year at 25 mpg uses 480 gallons a year. So, the average Cash for Clunkers
transaction will reduce US gasoline consumption by 320 gallons per year.
They claim 700,000 vehicles so that's 224 million gallons saved per year.
That equates to a bit over 5 million barrels of oil. 5 million barrels
is about 5 hours worth of US consumption. More importantly, 5 million
barrels of oil at \$70 per barrel costs about \$350 million dollars so, the
government paid \$3 billion of our tax dollars to save \$350 million.

We spent \$8.57 for every dollar we saved.

I'm pretty sure they will do a similar great job with our health care.[/QUOTE]

Now you sound smaht...........

5. [QUOTE=southparkcpa;3953857]Now you sound smaht...........[/QUOTE]

In 8.57 years, it'll pay for itself :thumbup: :P :confused:

6. [QUOTE=FF2®;3953652]Think of it this way: A clunker that travels 12,000 miles a year at 15
mpg uses 800 gallons of gas a year. A vehicle that travels 12,000 miles a
year at 25 mpg uses 480 gallons a year. So, the average Cash for Clunkers
transaction will reduce US gasoline consumption by 320 gallons per year.
They claim 700,000 vehicles so that's 224 million gallons saved per year.
That equates to a bit over 5 million barrels of oil. 5 million barrels
is about 5 hours worth of US consumption. More importantly, 5 million
barrels of oil at \$70 per barrel costs about \$350 million dollars so, the
government paid \$3 billion of our tax dollars to save \$350 million.

We spent \$8.57 for every dollar we saved.

I'm pretty sure they will do a similar great job with our health care.[/QUOTE]

I do not know anyone that only drives 12k miles per year, but you make a good point. We should of just sent the 3 billion to Iraq or Afghanistan, that makes it patriotic.

7. [QUOTE=cr726;3953889]I do not know anyone that only drives 12k miles per year. [/QUOTE]

Seriously? I only drove around 8,000 miles per year until I bought my summer place upstate, and that includes driving two kids to every practice and game for 4 sports. Lotsa guys like me commute by train...saves a lot of wear and tear on the wheels.

8. [QUOTE=cr726;3953889]I do not know anyone that only drives 12k miles per year, but you make a good point. We should of just sent the 3 billion to Iraq or Afghanistan, that makes it patriotic.[/QUOTE]

My grandmother passed away this past summer so my family sold her car. She bought it new in 1998 and it had just over 16,000 miles on the clock. I think it took her about 5 years to properly break in the engine. :D

9. [QUOTE=shakin318;3953936]Seriously? I only drove around 8,000 miles per year until I bought my summer place upstate, and that includes driving two kids to every practice and game for 4 sports. Lotsa guys like me commute by train...saves a lot of wear and tear on the wheels.[/QUOTE]

I do well over 12k. Probably more like 20k or even more. But that's because i have a long and lousy commute to work. And there's no train station near my job, so driving is really the only option.

10. [QUOTE=shakin318;3953936]Seriously? I only drove around 8,000 miles per year until I bought my summer place upstate, and that includes driving two kids to every practice and game for 4 sports. Lotsa guys like me commute by train...saves a lot of wear and tear on the wheels.[/QUOTE]

Brings back bad memories.... the "station" car. I commuted from Babylin to NYC for 8 years. Now my commute is 7 minutes.

11. [QUOTE=cr726;3953889]I do not know anyone that only drives 12k miles per year, but you make a good point. We should of just sent the 3 billion to Iraq or Afghanistan, that makes it patriotic.[/QUOTE]

No, Send to us! It is our money anyway!

12. [QUOTE=southparkcpa;3954288]Brings back bad memories.... the "station" car. I commuted from Babylin to NYC for 8 years. Now my commute is 7 minutes.[/QUOTE]

I walk 4 blocks to/from the train station. Sometimes I don't start my truck for 5 days straight.

13. Oil prices are going up, and we are close to \$90 per barrel right now. This would put your claim of \$8.57 spent for every dollar saved closer to \$6.66, and that doesn't take into account additional revenue from taxes, registration fees, etc.

Did anyone claim this was supposed to pay for itself after 1 year? Last time I checked, cars typically last much longer than that. Unless oil prices go down drastically, the program will reach its break even point, and then some.

14. [QUOTE=cr726;3953889]I do not know anyone that only drives 12k miles per year, but you make a good point. We should of just sent the 3 billion to Iraq or Afghanistan, that makes it patriotic.[/QUOTE]I put about 5k/year on mine, but I live in manhattan. Many of my friends here with cars put less than that...

Sent from my DROIDX using Tapatalk

15. [QUOTE=shakin318;3954350]I walk 4 blocks to/from the train station. Sometimes I don't start my truck for 5 days straight.[/QUOTE]

I do NOT miss the LIRR.

16. that paragraph sounded smart but the key is when he takes the gallons of oil and equates them to US production. the price of both are variable but oil is actually pretty volatile. I don't know what it is around you guys but gasoline is now \$3.20 on my block. If it stays there or goes higher the economics of c4c make more sense.

If that paragraph was written last year when crude oil was at times as low as 75\$ a barrel (and gas was in the high 2's) then yes maybe c4c was boondoggle. but if gas is 5 dollars in 2014 then c4c was huge.

it should also be noted there are unrealized benefits to society at large, the car dealerships sold some cars, increased jobs for car owners (GM owned by taxpayers), cleaner emissions any new car vs a clunker is far better for the air.. what are the costs in terms of carbon credits or asthma rates in smoggy cities? What is the cost if global warming is actually true and the east coast takes on a foot of ocean water?

in other words the costs vs benefits is not so cut and tried. The US gov't "loses" money on roads, airlines and trains but they are all a net good for society.

taken further any gov't action is almost impossible to quantify in pure dollars and sense. what is the rate of return on the Iraq war? potentially it could prevent another terrorist attack or it could be a trillion dollars flushed down the toilet.

17. [QUOTE=southparkcpa;3954392]I do NOT miss the LIRR.[/QUOTE]

I can only count the days till I can afford to miss the LIRR.

18. In Mn. we only get railroaded by the politicians!

19. [QUOTE=MnJetFan;3954546]In Mn. we only get railroaded by the politicians![/QUOTE]bring back Gov. Jesse!

20. [QUOTE=MnJetFan;3954546]In Mn. we only get railroaded by the politicians![/QUOTE]

More like "Ram Rodded".

Do you live near the twin cities? Ever listen to Jason Lewis? He's awesome!

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