Cheap, small cars versus hybrid vehicles

Do you really need AC?

For those concerned about fuel economy, but with limited funds, small cars seem like a great option. But, can you buy a small car with air conditioning, power windows, and a CD player for less than $15,000? Not according to some analysis by Cars.com, which finds that small cars don't have such small price tags. Instead, most small cars with 'standard expected equipment' are going to cost more like $17,000 or $18,000.

A larger Toyota Prius, for example, still costs a few more thousand than these small cars, but it offers much better fuel economy, especially for urbanites. And with gas prices at $3.00 or higher, the Prius can quite quickly recover this technology investment for average urban commuters.

For car buyers, the Prius has become a much better bargain for most commuters than most small cars. Smart hybrid cars make sense - even for those who don't care about the environment.