Will $4 a gallon gas hurt gas guzzler sales?

[Anonymous]

Cars like GMC Yukon Denali has had crazy high prices last few years.
Will the owners still love them at $4 a gallon?

[Anonymous]

Never has! Never will!

[Anonymous]

You mean over the next couple weeks?

[Anonymous]

I'm old enough to have lived through the oil crisis of Jimmy Carter (1970's). Yes, that did affect car sales, but as another poster mentioned Americans love their big cars and they came roaring back. So it might hurt short term, but not long term.

[Anonymous]

A lot of the people who buy those cars probably don’t care. They can afford to pay 25% more or even 50% more for gas. I just looked up the capacity of a Chevy Suburban and it holds 28 gallons. So at $3/gallon it costs $84 to fill the tank from empty. At $4/gallon it costs $112. So for a family that fills up once a week that’s $1456 more a year. A lot to some of us but not a factor for others. If the inflated car prices and crazy high interest rates haven’t deterred them yet, I don’t see this moving the needle for new car sales.

[Anonymous]

Short term blip, for long-term price stability. Not gonna hurt sales. Not everyone has a desire to go electric or hybrid. ICE vehicles will continue to be the majority of cars sold each year for at least a decade to come.

[Anonymous]

Anonymous wrote:A lot of the people who buy those cars probably don’t care. They can afford to pay 25% more or even 50% more for gas. I just looked up the capacity of a Chevy Suburban and it holds 28 gallons. So at $3/gallon it costs $84 to fill the tank from empty. At $4/gallon it costs $112. So for a family that fills up once a week that’s $1456 more a year. A lot to some of us but not a factor for others. If the inflated car prices and crazy high interest rates haven’t deterred them yet, I don’t see this moving the needle for new car sales.

^This. In a K-shaped economy, the upper branch of the K have been the ones buying the Suburbans and Denalis, and they are unphased by $4 gas.

[Anonymous]

Nah. All our cars take premium. I'm looking at adding a Jeep 392 for fun to our fleet. And that just takes regular.

[Anonymous]

Anonymous wrote:

Anonymous wrote:A lot of the people who buy those cars probably don’t care. They can afford to pay 25% more or even 50% more for gas. I just looked up the capacity of a Chevy Suburban and it holds 28 gallons. So at $3/gallon it costs $84 to fill the tank from empty. At $4/gallon it costs $112. So for a family that fills up once a week that’s $1456 more a year. A lot to some of us but not a factor for others. If the inflated car prices and crazy high interest rates haven’t deterred them yet, I don’t see this moving the needle for new car sales.

^This. In a K-shaped economy, the upper branch of the K have been the ones buying the Suburbans and Denalis, and they are unphased by $4 gas.

Have you been to middle America? The people buying these cars are not exactly one percenters.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:A lot of the people who buy those cars probably don’t care. They can afford to pay 25% more or even 50% more for gas. I just looked up the capacity of a Chevy Suburban and it holds 28 gallons. So at $3/gallon it costs $84 to fill the tank from empty. At $4/gallon it costs $112. So for a family that fills up once a week that’s $1456 more a year. A lot to some of us but not a factor for others. If the inflated car prices and crazy high interest rates haven’t deterred them yet, I don’t see this moving the needle for new car sales.

^This. In a K-shaped economy, the upper branch of the K have been the ones buying the Suburbans and Denalis, and they are unphased by $4 gas.

Have you been to middle America? The people buying these cars are not exactly one percenters.

DP. They may not be one percenters, but they are people who are buying $75k vehicles when they really need a $35k minivan. So you should realize that many of them have more money than you think (and probably more than you) and many at least have enough money to make exorbitant monthly payments. Even in “middle America.”

—east coast one percenter who has a minivan and two hybrids

[Anonymous]

Anonymous wrote:Short term blip, for long-term price stability. Not gonna hurt sales. Not everyone has a desire to go electric or hybrid. ICE vehicles will continue to be the majority of cars sold each year for at least a decade to come.

How do you know it's going to be a short term blip? ANd what long term gain?

[Anonymous]

Let's say I drive 15000 miles a year and my SUV gets 15 mpg. That's about 1000 gallons of gas per year. If the price goes up by a $1/gallon for a full year, that's $1000. I don't see that changing buying decisions.

[Anonymous]

Anonymous wrote:Cars like GMC Yukon Denali has had crazy high prices last few years.
Will the owners still love them at $4 a gallon?

Yes, they will love them. No, it won’t hurt sales.

BTDT many times before.

[Anonymous]

Anonymous wrote:

Anonymous wrote:A lot of the people who buy those cars probably don’t care. They can afford to pay 25% more or even 50% more for gas. I just looked up the capacity of a Chevy Suburban and it holds 28 gallons. So at $3/gallon it costs $84 to fill the tank from empty. At $4/gallon it costs $112. So for a family that fills up once a week that’s $1456 more a year. A lot to some of us but not a factor for others. If the inflated car prices and crazy high interest rates haven’t deterred them yet, I don’t see this moving the needle for new car sales.

^This. In a K-shaped economy, the upper branch of the K have been the ones buying the Suburbans and Denalis, and they are unphased by $4 gas.

Unfazed. Spell it correctly.

[Anonymous]

No effect.

The middle class will be hurt most.