Yesterday, the auto industry released their August sales numbers and they were ugly. Compared to 2009, August 2010 sales plummeted 21% with General Motors Co., Toyota Motor Corp. and Honda Motor Co. all reporting declines of 25% or more. Ford Motor Co. was the tallest pygmy in the group as its sales only dropped 11%. Why such large year-over-year drops?

Cash-for-clunkers, of course! In 2009, this was a stimulus program that thought it was a good idea to take perfectly functional cars and destroy them for a subsidy between $3,500 and $4,500. As the data shows, the program was wildly … …READ MORE