Cash for Clunkers is a program in which money is provided to people for cars that are beyond repair. There is still a lot of good material in cars that can be used for scrap, so the people with these cars might as well get some use out of them.
Far from being a boon to the economy, the Cash for Clunkers problem was a terrible idea for those in the economy who needed the most help. First of all, the program significantly reduced the number of used cars available for purchase. Secondly, the government did not reimburse the car dealers like it promised, causing them to go out of pocket and lose significant amounts of money.