Comments on: Bad Economic Times Favors Buying Cheap Vs. Buying Efficient http://www.realmofprosperity.com/2009/06/bad-economic-times-favors-buying-cheap-vs-buying-efficient/ Wed, 08 Sep 2010 22:01:13 -0700 hourly 1 http://wordpress.org/?v=3.0.1 By: The 208th Carnival of Personal Finance: Lobster Roll Edition | Money Under 30 http://www.realmofprosperity.com/2009/06/bad-economic-times-favors-buying-cheap-vs-buying-efficient/comment-page-1/#comment-597 The 208th Carnival of Personal Finance: Lobster Roll Edition | Money Under 30 Mon, 08 Jun 2009 12:32:51 +0000 http://www.realmofprosperity.com/?p=596#comment-597 [...] Realm of Prosperity: Bad Economic Times Favors Buying Cheap Vs. Buying Efficient. [...] [...] Realm of Prosperity: Bad Economic Times Favors Buying Cheap Vs. Buying Efficient. [...]

]]> By: Michael Harr @ Wealth...Uncomplicated http://www.realmofprosperity.com/2009/06/bad-economic-times-favors-buying-cheap-vs-buying-efficient/comment-page-1/#comment-594 Michael Harr @ Wealth...Uncomplicated Sat, 06 Jun 2009 15:29:43 +0000 http://www.realmofprosperity.com/?p=596#comment-594 While I agree that people are definitely moving more towards cheap instead of overall value, fuel efficient vehicles still lack a significant value proposition. Until gas prices move north of $5/gallon, high tech auto will still lag behind in total value offered to the consumer. At this point (gas prices around $3/gallon), buying a much less expensive gas powered vehicle is still a better value over hybrids. In other words, buying new tech just doesn't add up from a direct cost analysis for consumers. If you want to go green, then you're not going to do it for the potential savings on fuel costs, you'll do it because you're willing to pay a premium to reduce environmental impact, ego, etc. By the way, a Ferrari historically doesn't lose it's value so if you're looking for resale value, it's better than a Prius, Civic, Camry, or just about any other gas/hybrid/whatever. While I agree that people are definitely moving more towards cheap instead of overall value, fuel efficient vehicles still lack a significant value proposition. Until gas prices move north of $5/gallon, high tech auto will still lag behind in total value offered to the consumer. At this point (gas prices around $3/gallon), buying a much less expensive gas powered vehicle is still a better value over hybrids. In other words, buying new tech just doesn’t add up from a direct cost analysis for consumers. If you want to go green, then you’re not going to do it for the potential savings on fuel costs, you’ll do it because you’re willing to pay a premium to reduce environmental impact, ego, etc.

By the way, a Ferrari historically doesn’t lose it’s value so if you’re looking for resale value, it’s better than a Prius, Civic, Camry, or just about any other gas/hybrid/whatever.

]]>