Obama can read
a TelePrompter pretty well but math is apparently not his
strong suit. Responding to questions about the rising cost of gas
(really, the falling purchasing power of the increasingly worthless
dollar), our Great Leader explained that his 55 MPG fuel economy
mandate would provide relief:
will be able to fill up every two weeks instead of every week, saving
the typical family more than $8,000 at the pump over time,
he said. Thats a big deal, especially as families are
yet again feeling the pinch from rising gas prices.
talk. No doubt he assumes the folks are as innumerate as
he is a smooth talker.
he is saying amounts to first you will have to buy
a new Obama Car in order to offset the cost of fuel. Lets
work that out and see how it will help the folks.
cost of a new car 2012 is about $18,000 (not including
the financing, not including the taxes, including personal property
taxes where applicable, or the cost of a full-coverage insurance
policy on a new car). This amount will buy you something along the
lines of a Honda Civic one step up from the base model without AC.
say gas goes to $5 per gallon. Thats about $1.25 in depreciated
dollars more than we were paying around this time last year.
So if you have
a 15 gallon tank in your car and you fill up once a week, you are
now spending about $19 more to filler up. Times four times
twelve, that works out to $900 more a year. Its a lot of money,
yes. But its a lot less than the cost of an $18,000 new car
(again, not counting interest payments, taxes and insurance).
How much less?
see. Being generous and assuming 0 percent interest on a five-year
loan, the payment on an $18,000 balance works out to $300 a month.
So, using Obama maff, your savings comes to
after youve bought your new car, youre starting to pay
a lot more per month for the car than you were paying for
Oh, but wait
because it gets better.
car used in this example is a 2012 model car not the
Obama Car of 2025, when new cars will be required by government
mandate to average 55 MPG. And mandates arent free. Technology,
R&D, hardware, tooling, new materials, etc. it all costs
money. Perhaps Obama has watched too many Star Trek episodes and
imagines that just like Captain Picard, he can make it so
merely by saying so.
Look at current
hybrids for a taste of whats to come. They all cost several
thousand dollars more than comparable non-hybrid cars. A 2012 Prius
hatchback, for example, has a base sticker price of $23,520
about $5,500 more than the current average cars cost. Call
it the Obama Car Surcharge.
And none of
them not even the sainted Toyota Prius averages 55
To get to the
magic 55 MPG mark, it will be necessary to re-invent the car (and
the car engine and lots of other stuff besides).
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columnist and author of Automotive
Atrocities and Road Hogs (2011). Visit his
© 2012 Eric Peters
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