Congress approves a measure to subsidize car purchases – consumers can get as much as $4,500 to trade in old cars. Obama expected to sign bill.
Keys: Marketing, promotion, pricing, government
Questions for discussion:
- Why might some people consider this government stimulus to the economy a Ã¢â‚¬Å“goodÃ¢â‚¬Â or Ã¢â‚¬Å“badÃ¢â‚¬Â idea?
- Consider what might happen after the program is ended. Consider the impact this policy might have on those who have recently bought a new car but will not benefit from this promotional tool. How might consumers behave in the future?
- Can you think of a better way to stimulate purchases of cars?