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...fiscal multiplier effect, the net impact of the program was easily north of $25 billion - if not much higher. However, the impact also has a short life expectancy. Once the program is over, the impact is pretty much over as well. It will be the next challenge for manufacturers as well as dealers to try to figure out a way to ride the program's coattails...
...program did reduce inventories. Will this affect manufacturers' incentives over the next few months? For the next four to six weeks, it will result in a drop in incentives for most categories. Once the additional production starts arriving on the lots, probably starting in late September, we will see the incentives start to climb back up, and that should last for the rest of the year. (See pictures of the best-selling cars in China...
...think Congress is going to be tempted to do it again? It will be wait and see for at least the next couple of weeks. If the auto-sales rate drops below expectations, there is always a chance Congress may come up with a similar or totally new stimulus idea, but that won't likely happen unless we experience another period of sustained sub-10 million level [in annual car sales], which I hope never happens again...
...starting to get to the point at which one can legitimately call the trend significant. That's especially true when overlaid with data from the National Association of Realtors that show sales of previously owned houses are going up too. Still, what happens with new-home sales in the next few months will be incredibly important context...
...freshman year, Kennedy was suspended after having another student take a Spanish exam in his place. He spent the next two years serving in the U.S. Army as a military policeman in Paris before re-enrolling at Harvard in the fall...