the buzz log

The Cash for Clunkers swap is underway, making auto recyclers "leery" and aggravating some clunker would-be buyers. At least dealers should be happy.

The federal program began with the greenest of intentions. Critics, including the original senators who proposed the idea, have decried the stripped-down version that got approved. Scrap dealers, for their part, don't find much sense in the requirement to destroy perfectly good engines. (That's to prevent scammers from returning clunkers to the road.)

And, in a classic case of the left hand slapping down the right hand, the Environmental Protection Agency's last-minute changes of vehicles' fuel economy got the National Highway Traffic Safety Administration's project off to a clunky July 24 start. People have been tracking the fine print ("cash for clunkers details”) to see if their ol’ jalopy qualifies, but those ready to dump their formerly eligible cars are experiencing some roadster rage.

Overall, however, consumers have hankered after this program since March (when "cash for clunker" searches started taking off on Yahoo!). Not surprisingly, searches for many types of models are up.

With only a billion to spare for this program, which automakers will clear their lots first? This Search ranking from the past 7 days might give some clues:

1. Chrysler Cash for Clunkers
2. Ford Cash for Clunkers
3. GM Cash for Clunkers
4. Dodge Cash for Clunkers
5. Toyota Cash for Clunkers

True, the above queries could mean, for instance, that people want to unload their Chryslers, but drivers may also be warming to the manufacturer's double incentive (additional $3500-$4500 rebates or zero percent financing on top of the federal moneys). Savvy consumers know about the “double cash for clunkers.”

Incidentally, Ford’s second-place status could be recognition for its independent nature: A Rasmussen poll said buyers respect Ford for abstaining from any bailout money, and 46% claimed they’d shop there over GM and Chrysler.

As for what cars might be on the roads in the next few weeks, some models zooming through the Search box:

Most Searched Model: Honda Civic
A Few of the Fastest Moving Models: 2009 Ford Focus, Chrysler Jeep, 2010 Dodge Charger, 2010 Honda Insight
Leading Hybrids: Ford Escape Hybrid, Ford Fusion Hybrid, Honda Civic Hybrid

Filed under: Autos, Finance, Government

It's no secret that Bernie Madoff doesn't have many friends right now. In fact, newspapers can't seem to write his name without describing him as "disgraced." But what might come as a surprise is that his wife, Ruth, may be even more of a social pariah—not for what she's done, but rather for her silence regarding her husband's tremendous fall from grace.

Mrs. Madoff is aware of the brewing rage directed toward her. On Monday, she released a statement after her husband was sentenced to a staggering 150 years in prison. The statement acknowledged that her silence may have been interpreted as "indifference or lack of sympathy for the victims of my husband Bernie's crime." However, Mrs. Madoff writes that this is "exactly the opposite of the truth." She continues, "Not a day goes by when I don't ache over the stories that I have heard and read."

Still, while Mrs. Madoff hasn't been charged with any crime whatsoever, there are still those who believe it's open season on the Manhattanite. The New York Post recently published an article reporting that Mrs. Madoff was spotted riding a New York subway. Upon being recognized, Mrs. Madoff, obviously annoyed, asked the Post photographer if she was "having fun embarrassing [her]—and ruining [her] life."

But that wasn't the first public awkward moment suffered by Mrs. Madoff. Earlier this month, The New York Times reported that her hair salon, where she used to receive highlights every six weeks, told her not to return. The Times reports that Mrs. Madoff "is viewed as an unrepentant beneficiary of ill-gotten wealth, a petite and well-dressed embodiment of the collective, bloated greed that helped topple the stock market and the housing industry." Whether or not the public scorn is justified seems to be beside the point.

For whatever it's worth (probably not much to the victims of her husband's fraud), Mrs. Madoff has given up her claim to millions of dollars in joint assets. According to an agreement with United States prosecutors, Ruth will be left with $2.5 million. Sounds like a lot of money, but The Wall Street Journal reports that Mrs. Madoff may "still face claims" from government agencies like the SEC and trustees that are liquidating Bernie's assets.

Assuming she invests with a non-crook, Mrs. Madoff can expect to earn about $125,000 per year on her $2.5 million settlement. Adjusting to life on a fixed income will require a significant change in lifestyle. Still, that's a problem that many of her husband's victims would surely love to have.

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Filed under: Finance, Crime