‘Cash-for-Clunkers’ Deal Advances in a Congressional Committee

Americans who trade in their gas-guzzlers for more fuel-efficient vehicles could receive as much as $4,500 in government vouchers under a climate change bill being negotiated in the U.S. House of Representatives. The so-called “cash-for-clunkers” plan would provide vouchers to consumers who exchange a car that gets an average of 18 miles-per-gallon or less for a new vehicle that gets at least 10 more miles-per-gallon. Lawmakers hope the incentive will get low-mileage vehicles off the road and prompt a million new car purchases to boost the staggering U.S. auto industry. A similar program in Germany has been a major success, leading to a large increase in car sales. The car initiative was introduced by Democrats on the House Energy and Commerce Committee and was endorsed by President Obama, who met with Democrats from the committee and urged them to draft a bill this month placing a cap on greenhouse gas emissions.