Interesting proposal put to the Treasurer by the Motor Traders Association of Australia. They propose the government introduce a revolutionary stimulus plan that will pay people $3000.00 to crush their 10yr or older cars. It is being pushed as a pollution reducing move with the side benefit of boosting the struggling auto industry as the $3000 will be paid as a 'car voucher' to be used on the purchase of a new car. A similar program has seen a 10% inrease in car sales in Germany.
Considering that we have about 7 million vehicles older than 10yrs registered here that could be a very expensive policy to implement so they have suggested a 3 year $4.5 billion cap. The benefits to the auto industry could be significant, it will be interesting to see if it flies.
