Jorock McBama
Banned
I have a very simple strategy for solving America's dependence on foreign oil (or at least making a HUGE dent in it) while at the same time providing a huge boost to lower and middle income Americans. To me this smacks of a concept that I normally hate for being entirely too vague and abstract: common sense. All I am doing is taking off the shelf ideas and technology and combining them into a package that actually makes sense, imagine that!
THE TAX CREDIT: $3150 - This is the current federal tax credit on the Toyota Prius (MSRP: $21,500) http://www.hybridcars.com/federal-incentives.html
THE CAR: a <$10,000 car using a conventional 3 or 4 cylinder engine tuned, using modern technology, to be the most exceptional conventional gas mileage car ever made using no exotic technology. I am not an engineer or a mechanic, but I do have MSN autos, so here are some examples that could be used for inspiration:
The New Beetle 90hp I4 (34/44 with a 4 speed auto, imagine pairing it up to a modern 6 speed, 42/49 with the 5 speed manual) http://autos.msn.com/research/...New%20Beetle&trimid=-1
1991 Honda Civic CRX 49/52 with 62 hp I4 and 5 speed manual.
Considering cars like the Kia Rio and the Chevy Aveo have been made with around a 10,000 MSRP, let's say with modern technology a car company manages to get one of these out around $8,000 with a ~small 70hp engine. With modern technology let's assume they can make a car getting around 45/55 with these specifications. Take a 8,000 MSRP, subtract a 3,000 tax credit, and you have a 5,000 car that even the lower-class, let alone the middle class to afford.
My point is, all these tax credits on super-expensive (sorry but 21,500 + taxes is super expensive and out of the price range of many americans) are really missing the point. At $5,000 and $4 a gallon gasoline, my hypothetical car would be only $2,500 compared to even a relatively gas efficient 30/36 car in approximately 5 years. That is the price of a cheap USED car for christ's sake! On top of this, I must bring up the point of why not have a general tax credit for all extremely efficient gasoline engine cars as long as they meet certain extraordinary thresholds (i.e. ~40 mpg average in combined driving, even a new civic or a corolla does not come close to this)
The reason this would be so dramatic and so effective is the true mass market penetration of the subsidized $5000 car, the tremendous gas savings, and the fact that even those with poor credit would be able to find ways to truly afford the car, and THRIVE after they have purchased it. Anyone want to weigh in or refine my idea?
EDIT: The other reason the small, conventional engine is critical to this idea is that one of the main reasons that enough of the hybrids cannot be produced is bottlenecks in the battery construction. With a car that could sell in the millions, having any bottlenecks would NOT be an option.
THE TAX CREDIT: $3150 - This is the current federal tax credit on the Toyota Prius (MSRP: $21,500) http://www.hybridcars.com/federal-incentives.html
THE CAR: a <$10,000 car using a conventional 3 or 4 cylinder engine tuned, using modern technology, to be the most exceptional conventional gas mileage car ever made using no exotic technology. I am not an engineer or a mechanic, but I do have MSN autos, so here are some examples that could be used for inspiration:
The New Beetle 90hp I4 (34/44 with a 4 speed auto, imagine pairing it up to a modern 6 speed, 42/49 with the 5 speed manual) http://autos.msn.com/research/...New%20Beetle&trimid=-1
1991 Honda Civic CRX 49/52 with 62 hp I4 and 5 speed manual.
Considering cars like the Kia Rio and the Chevy Aveo have been made with around a 10,000 MSRP, let's say with modern technology a car company manages to get one of these out around $8,000 with a ~small 70hp engine. With modern technology let's assume they can make a car getting around 45/55 with these specifications. Take a 8,000 MSRP, subtract a 3,000 tax credit, and you have a 5,000 car that even the lower-class, let alone the middle class to afford.
My point is, all these tax credits on super-expensive (sorry but 21,500 + taxes is super expensive and out of the price range of many americans) are really missing the point. At $5,000 and $4 a gallon gasoline, my hypothetical car would be only $2,500 compared to even a relatively gas efficient 30/36 car in approximately 5 years. That is the price of a cheap USED car for christ's sake! On top of this, I must bring up the point of why not have a general tax credit for all extremely efficient gasoline engine cars as long as they meet certain extraordinary thresholds (i.e. ~40 mpg average in combined driving, even a new civic or a corolla does not come close to this)
The reason this would be so dramatic and so effective is the true mass market penetration of the subsidized $5000 car, the tremendous gas savings, and the fact that even those with poor credit would be able to find ways to truly afford the car, and THRIVE after they have purchased it. Anyone want to weigh in or refine my idea?
EDIT: The other reason the small, conventional engine is critical to this idea is that one of the main reasons that enough of the hybrids cannot be produced is bottlenecks in the battery construction. With a car that could sell in the millions, having any bottlenecks would NOT be an option.
