August auto sales in the U.S plummeted to their lowest point since February this year. 10.8 million Units were sold, which fell well short of the projected sales of about 11.5 million units, reports Automotive News. This can partially be attributed to the cash for clunkers government program that helped maintain auto sale levels last August. There is no doubt that the 21 percent decrease in sales from last August and the lack of the cash for clunkers program this summer are connected. Obviously cash for clunkers was necessary in order to bring the Auto Industry out of the 21 month slump of losing money that it was in until August of last year, but now that the government incentives have ended so that in effect, the government has taken the training wheels off, the question is, will things turn around? Or will sales once again wane, calling for another governmental intervention? Weigh in if you have anything to add.
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