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On maintenance intervals: If all cars really did get scheduled maintenance done on time, then cars that have just over X0,000 miles should be worth more because
by yetanotherphd 13y ago
On maintenance intervals: If all cars really did get scheduled maintenance done on time, then cars that have just over X0,000 miles should be worth more because they just had this expensive maintenance done.
That is a car with 51,000 miles will just have had its 50,000 mile maintenance done while a car with 49,000 miles will not have.
So scheduled maintenance cannot explain these jumps, since it would predict jumps in the opposite direction.
- ghaff 13y agoThe bias discussed in the original article is pretty well documented. It also has nothing to do with the other inefficiencies in used car pricing that we've been discussing here :-) Of course, there's also nothing automatic about getting schedules maintenance done when the odometer rolls over to some mileage that ends in 000.
- deleted 13y ago[deleted]
- yetanotherphd 13y agoI'm aware of the original articles point, my post was of the form "even when you account for X, their analysis is still valid". And neither did I mean to imply that people actually get maintenance done exactly on schedule. A more relevant question would be how much dead weight loss this bias results in. I'm guessing not that much.