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Date Posted: 20:08:39 08/31/09 Mon
Author: Paul Davis
Subject: Re: Auto Industry Association CEO On Cash For Clunkers
In reply to: Kelsey 's message, "Auto Industry Association CEO On Cash For Clunkers" on 13:53:27 08/31/09 Mon


And I'm quite certain that what she is saying is correct, that an incentive to purchase new cars reduces sales at used car lots. In fact, I'll go so far as to say that it's self evident, obvious and pretty much a simple fact.

However, I have to question the philosophy behind this letter. Undoubtedly, the TVA projects that brought power and eventual prosperity to the South did considerable damage to the private power producers in the region, who only served cities and didn't care if farmers had electric power or not. Undoubtedly, projects for building modern water plants damaged the owners of town pumps and wells. Beyond doubt, construction of public highways and bridges damages owners of ferries (and I happen to know of a case of that near me, where a new bridge was built about half a mile from an old ferry landing - put George right out of business).

The stated purpose of the Constitution of the United States is to "We the People of the United States, in Order to form a more perfect Union, establish Justice, insure domestic Tranquility, provide for the common defence, promote the general Welfare, and secure the Blessings of Liberty to ourselves and our Posterity, do ordain and establish this Constitution for the United States of America.".

Somehow, the notion of the general Welfare has been dropped in recent years. It is impossible in virtually every case to promote the general welfare without some damage, greater or lessor, real or perceived, to some individual or group of individuals, somewhere. This is simply the way the world works. And I'm quite certain that I could find discussions of this matter amongst the founding documents, the founders weren't stupid.

So yes, it's a bit unusual for the modern government to do anything besides give away money for no purpose, but it is part of their function to determine what promotes the GENERAL welfare, and then move in that direction. Anything else is unconstitutional.


>Here is a wonderful letter from a grand lady, Kathleen
>Schmatz - President & CEO of AAIA. Google her if you
>are interested in her accomplished career in a men's
>world.
>
>It is in response to an editorial that ran in an
>industry newsletter.
> >href="http://www.magnetmail.net/actions/email_web_versi
>on.cfm?recipient_id=132109080&message_id=798145&user_id
>=AutoAfterM">http://www.magnetmail.net/actions/email_we
>b_version.cfm?recipient_id=132109080&message_id=798145&
>user_id=AutoAfterM
>
>The original editorial is only available in pdf form
>because it is subscription only, and I am not able to
>post a link. If anyone is interested, I would be happy
>to email it to them.
>
>Kelsey

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