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russ
response 14 of 120: Mark Unseen   Nov 17 13:58 UTC 2003

If you get GM discounts but you'd rather have a Toyota for quality, look
at the Pontiac Vibe (a re-badged Toyota Matrix, IIRC).  If they are not
discounting it, maybe you should ask why the other cars are going so cheap.

Re #2:  If the difference in gas mileage is 40 MPG vs. 35 MPG and
fuel costs $2.00/gallon, it would take... let's see.

        $6500 / [ (1/(35 mpg) - 1/(40 mpg)) * $2/gallon ]
     =  $6500 / ( 1/280 gallons/mile * $2/gallon )
     =  $6500 / (1/140 $/mile)
     =  910,000 miles to make up a difference of $6500 in initial cost,
        ignoring the time value of money.

This is rather extreme.  In contrast, the price-premium of a hybrid over a
conventional car is supposed to be about $1800, and the mileage improvement
is typically from 25 MPG to ~40 MPG.  

        $1800 / [ (1/(25 mpg) - 1/(40 mpg)) * $2/gallon ]
        = $1800 / (.015 gallon/mile * $2/gallon)
        = $1800 / ( $.03 $/mile )
        = 60,000 miles to make up the difference.

If gasoline cost $5/gallon, it would be 24,000 miles.
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