When will car owners get rid of their SUVs?
In the wake of a record-breaking oil spill, the federal government is considering whether to regulate car manufacturers that produce them.
Car owners could soon have to pay more for their cars.
The Senate passed a bill Tuesday to limit the cost of a vehicle to $15,000 a year, from $20,000 currently.
It would be a significant change to the auto industry, with automakers charging an average of about $30,000 per vehicle, according to Edmunds.com.
It also would take some of the pressure off owners of older models, such as the Chevy Impala.
But a study from the Brookings Institution and others has found that the new law would lead to fewer vehicle crashes and deaths.
It would also reduce the costs of repairs and maintenance, according the study.
The Brookings Institution study found that by 2027, the average cost of an auto would drop by $2,927 per vehicle and by $1,534 per person per year, depending on the vehicle type and size.
But in 2026, that drop would be $6,907 per vehicle.
The average person would save about $11,800.
But that analysis excluded the costs to repair and maintain cars, and the cost to replace them with newer models.
A study from Citi, a research firm, found that replacing a vehicle would cost about $15 per vehicle per year.
That would be about $2.6 million a year.
The price of the average car would drop slightly, from about $18,000 to $18.4 million, depending how many vehicles are sold.
But it would be roughly $6.2 million a person a year less than the cost savings to repair vehicles and maintain them.
The report estimated that car insurance premiums would rise by about 3% a year under the law, which would be around $1.2 billion a year in 2020.
Insurance companies would still pay for the costs.
The new law also would require auto manufacturers to get federal permits to produce new models, with the federal Trade Commission overseeing safety measures.
The Senate is expected to pass the bill, which must still be reconciled with the House.
This article tagged under: bill,car,insurance,recession,insurer source The Washington Post title Why do people keep buying SUVs and trucks?
article If the recession makes it harder for people to buy cars, how do they find someone to buy one?
A new study from McKinsey & Company has found an important factor: It’s not the price of a car.
The study found nearly all buyers of SUVs are buying because of the economic recession.
They want a car that has a certain level of safety, comfort and comfort for their lifestyle, McKinsey said in a statement.
“That’s not just an economic calculation,” said John Rupp, an economist at McKinsey.
“It’s also a moral calculation.
If you’re trying to be good stewards of the environment and the planet, that’s why people want to buy SUVs.”