The 2009 federal Cash for Clunkers program is often hailed as a success because it jump-started new-vehicle sales, but a new study says it actually cost car dealers $3 billion in lost revenue because its fuel-efficiency requirement caused people to buy cheaper cars than they would have otherwise.
Instead of buying expensive hybrids such as the Toyota Prius, most people fulfilled the fuel requirement by purchasing economy cars. The Toyota Corolla was … More