Who is paying the difference?

The recent "Cash for Clunkers" program is reminiscent of a not-so-distant and equally stupid strategy based on the government enabling people to purchase things they otherwise cannot afford. Although all media cries the program is "a success," ask yourselves, "Who is paying the difference?"

Haven't we learned what happens when banks loan money to people to buy homes they can't afford? Sure, it gets you in the house (car) but the devil is in the details of mortgage payments, taxes, insurance and maintenance. Likewise, that brand new car driving off the lot.

The auto industry is the most recent recipient of big government's latest brain child. On the surface, everyone wins! People are shopping! Dealerships are busy! Unfortunately, quick fixes often lead to long term frustrations. This is no different than the deceitful credit card industry making offers to consumers to charge today (No interest! Cash back! Rewards!) and pay tomorrow.

Was it so difficult for the auto industry to weather the storm? It's been less than a year since they begged for mercy at the feet of Congress. It appears the union's overindulgent uncle has yet again swooped in to "rescue" the American free market. However, while the industry appears to get a "hand up" they fail to see the empty pocket Uncle Sam pulled that hand from. Good luck - check is in the mail..

Instead, Uncle Sam should act like the depression-era grandparent, who has money under their mattress, yet holds back and lets his family figure out how to achieve success on their own. Perhaps they could learn from a typical middle-income parent, who tell their teenager to "use their own money" for those expensive shoes, instead of buying it for them. These tough life lessons teach children about choices and the value of a dollar. When those values aren't learned, when children aren't expected to succeed on their own, we all pay.

Who pays the difference for government programs? We all do. Suddenly we all pay more - for purchases, insurance, health care - everything. Meanwhile, entrepreneurs cannot get business loans, grandparents see dwindling returns on their hard earned investments and neighborhood shops that have accounted for every dime to survive, shut their doors because government propped up their big corporate competitors. It's not speculation and it's not scare tactics. It's Obama's America.

So I will be content to drive right by all these dealerships with flags flurrying in desperation, in either of my ten year old vehicles. I will be happy pass on a new car loan and know I can make my mortgage payment on time. I don't need to be told what to buy or when to buy it. I don't need rescued, Uncle Sam. I need my freedom and the opportunity to success or fail based on my choices and abilities. And so does the auto industry.