DesRosiers says that, ''at some point our governments are going to have to realize that if consumers can't afford to own vehicles and replace them regularly, then the economy can't rely on the 250,000 manufacturing jobs related to the automotive industry.''
There's actually a precedent for a government making an effort to help sell new cars, though it took place in 1980 and 1981. That's when Ontario's then treasurer, Frank Miller, instituted three rebate periods on the seven percent tax on new car sales (up to $700).
At the start of the third rebate period in November, 1981, Miller told the legislature that the North American automobile industry was fast approaching a dangerous situation.
''Too-high inventory prevents full production runs of the new 1982 model year,'' Miller said at the time, ''resulting in layoffs and job losses. At the same time, dealers are crushed under high carrying costs, damaging the sound distribution network so crucial to the auto industry's success. Once the business goes, you don't get it back on its feet."
There's actually a precedent for a government making an effort to help sell new cars, though it took place in 1980 and 1981. That's when Ontario's then treasurer, Frank Miller, instituted three rebate periods on the seven percent tax on new car sales (up to $700).
At the start of the third rebate period in November, 1981, Miller told the legislature that the North American automobile industry was fast approaching a dangerous situation.
''Too-high inventory prevents full production runs of the new 1982 model year,'' Miller said at the time, ''resulting in layoffs and job losses. At the same time, dealers are crushed under high carrying costs, damaging the sound distribution network so crucial to the auto industry's success. Once the business goes, you don't get it back on its feet."