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I think the cost of a car is a huge drag on the upward mobility on the lower income earners in the U.S.
by JKCalhoun 1y ago
I think the cost of a car is a huge drag on the upward mobility on the lower income earners in the U.S.
- roxolotl 1y ago100%. And it doesn’t help that large cars as a cultural touchstone/status symbol really took off. Even if a $25k car existed most people wouldn’t buy it(even if they “should”).
- kevin_thibedeau 1y agoThe base Ford Maverick just edged over $25K for 2024. Now it's $26K. It's not a "real truck" but considerably larger than any econobox.
- usefulcat 1y agoMaybe it's the exception that proves the rule?
- zoklet-enjoyer 1y agoI'll have my 2020 Subaru Impreza paid off in a couple months. That was just under $24k. I don't think the price has gone up much on the Impreza in the last 5 years.
- JKCalhoun 1y agoArticle suggests the Maverick was selling quite well when it was below $25K. Dealers marked it up.
- Marsymars 1y agoIt’s still selling quite well.
- SJC_Hacker 1y agoBecause they are buying new and financing it
- JKCalhoun 1y agoNew car prices affect used car prices. I've been in the market for a used car for my daughter, and the prices on used are crazy as well.
- BobaFloutist 1y agoI mean what's a 10-year-old Prius in passable condition cost? It can't be that bad, surely?
- bluefirebrand 1y agohttps://www.edmunds.com/toyota/prius/2015/ https://www.edmunds.com/toyota/prius/2015/ 10 grand it seems? That's pretty rough, especially with that mileage
- BobaFloutist 1y agoThat's a little steep, but you gotta grade mileage on a curve -- if it's reasonably maintained, it'll keep trucking for a lot longer than that, it should be plenty for a starter car. I mean, I'm biased, since I drive a (very well maintained when I bought it, high mileage) 2007 Prius that I bought for ~7.5k...8, 9 years ago? and I'm still getting ~40mpg and it survived some pretty questionable maintenance and care on my part. 10 grand feels steep, but for a solid car that'll easily last another ten years with minimal maintenance, good fuel economy, I don't know that you can do much better these days, and it doesn't feel unreasonable.
- bluefirebrand 1y ago> I don't know that you can do much better these days, and it doesn't feel unreasonable It's pretty unreasonable as a class of "starter car" though I can't imagine many teens working a min wage job for a summer and having a car afterwards if they cost like this
- kevin_thibedeau 1y agoSo do the cost of cigarettes and alcohol. Things they burn a larger proportion of their money on than higher earners.
- darth_avocado 1y agoFalse equivalence. You can do without cigarettes and alcohol, but not without cars in majority of the United States. Only about 10% of the adults smoke vs car ownership in American households is 90% with almost 40% owning more than one car. Comparing what you necessity with a discretionary expense isn’t fair.
- dagw 1y agoComparing what you necessity with a discretionary expense isn’t fair. A car might be necessity, but spending more than say $15-20k max on a (second hand) car is a discretionary expenses for the vast majority of people doing so.
- sofixa 1y agoI think the bigger issue is the need for a car. In most of the US, everything is built with the assumption you'll be driving to it (workplaces, stores, facilities, etc). So everyone has to have a car. So your social mobility is limited by the fact that you need to have the money for the expenses that go with it in the first place. 3-4 cities with decent to good transit are the exception, but the fact that they're so desirable and with such high housing prices means that they aren't really accessible either.