More automakers blame gas prices for fuel economy
Big trucks are the best selling vehicles in America"Gas prices would have to be $13 a gallon in today's world for consumers to demand a fleet where half the vehicles achieved better than 35 miles per gallon," Chrysler LLC economist Paul Traub said after addressing the Society of Automotive Analysts this month.
Is that statement an exaggeration? Can automakers profitably sell significantly more fuel efficient vehicles - that consumers are willing to buy - without a significant increase in gas prices?
Labels: fuel economy
posted by Dahcredyns at
7:34 AM
4 Comments:
It may be too late. Interest rates may have to go negative to move vehicles in a tight economy. If Joe Consumer can't afford a new car and can't afford gas for his existing car, carpooling may be the only option, not a new fuel-efficient car.
Also, don't underestimate the number of home construction businesses buying pick-ups and vans that may be lumped into the consumer market number.
"If Joe Consumer can't afford a new car" is an intersting point, KP.
Aren't we in somewhat of a catch-22 at all levels?
What happens if consumers can't afford the costs of new, fuel efficient technologies?
Don't they keep their old gas-guzzlers which become even more inefficient the older they become?
Likewise a gas tax might cause the same sort of "can't afford" to do buy anything new result as well.
We've really painted ourselves into a corner, and it seems the longer we wait to get serious, the harder it is going to be to change.
Are we just a bunch of crack-heads, I mean gas-heads?
BTW - I had a pocket full of hope yesterday, that I seem to have misplaced today. If anyone finds it, please let me know.
You guys are crazy. Cheap gas is good for America, it keeps our economy strong. Just because you wasted money buying a stupid Prius doesn't mean we all have to suffer.
Let market forces, not a bunch of liberal fools, determine gas prices.
Maybe we have a different understanding of market forces. The real cost of oil includes the cost of keeping troops in Iraq and protecting our ports. You're not paying for that at the pump. The gas tax at the pump keeps a few potholes filled. So the portion of our government with their thumb on the scale is actually helping you. The world market things you're getting off easy.
When we can't find enough oil to make it affordable and you're getting on that greyhound to go see your grandchildren in 20 years, you might look back with just a little regret. Think of fuel efficiency as putting a little away in a savings account for your kids.
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