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Recliner Pilot

Payback time for buying a Chevy Volt: 26.6 YEARS

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I don't know why the right obsesses about bashing this car so much.

 

It's not economical (yet). Everybody knows you can get a better ride for the same money with a gas car. The money you save on gas won't offset the upfront costs. That'll change; every forthcoming innovation will lower the 26.6 years.

 

At present the main function of the car -and others like it- is to spur innovation to make the electric car experience compatible with the gas ones. Each innovation lowers cost/improves the car. Someday, hopefully soon, the 26.6 years will be down to ~four or less and the transition off of gas and onto electric will be actually for cost-economy reasons rather than merely feel-good green ones. Folks won't willingly give up any features or driving experience en mass to do so. They'll only make the switch en mass when they get a better ride for the money to do so.

Actually...cafe standards for gasoline engines will continue to push back the payback of electric hybrids even further... You are paying 50% more for a car then will get incrementally less superior mileage from its gasoline counterparts as time goes on... But in the future I do believe they will be a cheap option for transportation. Bring them to market when it makes business sense, like anything else.

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Awesome!

 

 

 

 

 

http://www.reuters.c...E88904J20120910

 

 

The independent cost estimates obtained by Reuters factor in GM's initial investment in development of the Volt and its key components, as well as new tooling for battery, stamping, assembly and supplier plants — a price tag that totals "a little over" $1 billion, Parks said. Independent estimates put it at $1.2 billion, a figure that does not include sales, marketing and related corporate costs.

 

Spread out over the 21,500 Volts that GM has sold since the car's introduction in December 2010, the development and tooling costs average just under $56,000 per car. That figure will, of course, come down as more Volts are sold.

 

The actual cost to build the Volt is estimated to be an additional $20,000 to $32,000 per vehicle, according to Munro and the other industry consultants.

 

 

 

Holy crap, so the start-up costs for a new product contribute to the product costing more initially than it will after more units are produced!!!!!

 

Do you think you can find an article determining if water is wet?

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Because we are paying for it. Personally, you get out of my pocket and I wouldn't care about this care in the least.

 

While I agree this is stupid, and the Volt is a joke...

 

I don't recall similar outrage from the right all through the Bush years when they were allowing you to write off the cost of an SUV if it was one of the biggest models.

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Holy crap, so the start-up costs for a new product contribute to the product costing more initially than it will after more units are produced!!!!!

 

Do you think you can find an article determining if water is wet?

So, you are saying it is common for auto mfgs to produce cars that they lose $49,000 on each one sold.

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So, you are saying it is common for auto mfgs to produce cars that they lose $49,000 on each one sold.

 

Doesn't look like I said anything like that at all.

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Yes, it does.

 

You made it seem like it is common practice to lose money on the sell of vehicles.

 

Holy crap, so the start-up costs for a new product contribute to the product costing more initially than it will after more units are produced!!!!!

 

:thumbsup:

 

 

 

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Yes, it does.

 

You made it seem like it is common practice to lose money on the sell of vehicles.

Its common if its a loss leader, or its the situation where you discount the hardward so you can make it up in software/service...

 

i.e.

-Selling iphones at a loss, but do it for the 2-yr contract.

-Playstation 3s were sold initially at a slight loss, but make up for it with the games

-7/11 giving away free slurpees, but more than make up for it with other sales...

 

I don't get where the same dynamic is with EV's... maybe if they were servicing/renting the electric fueling stations/converters you install in your house?

 

 

In this situation i imagine they can sell at a loss becuse the govt is subsidizing them and their losses. Meaning the taxpayers are just fronting this stupidity.

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Just think how long you would have to drive this turd to break even if they had to charge the additional $50,000 to cover the actual cost of the thing. :o

 

Don't forget the $8,000 rebate from the government.

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The Great Green Car Fleet

Pentagon buying Chevy Volts to ‘green up’ military

 

BY: Bill McMorris

September 10, 2012 11:34 am

 

The Pentagon is buying Chevrolet Volts to help “green up” the military—while propping up sales of the bailed-out automaker’s most politicized car.

 

The Department of Defense began purchasing the struggling luxury electric car, which retails at $40,000, this summer as part of its goal to purchase 1,500 such green vehicles. The Marine Corps Air Station in Miramar, Calif. purchased its first two Volts in July, and 18 more vehicles will come shortly to Joint Base Andrews in Maryland, where Air Force One is based, according to military magazine Stars and Stripes.

 

The Obama administration championed the production of the Volt. Along with the president’s pledge this year to “buy one and drive it myself … five years from now when I’m not president anymore,” the government offers a $7,500 tax break to encourage sales.

 

Such perks, however, have failed to drive consumers to GM car lots. The vehicle has been forced to suspend production twice this year after the Volt failed to gain a foothold in the marketplace.

 

GM is now offering the vehicle for as low as $169 per month, a financing deal that is generally reserved for $15,000 cars—a price so low that GM is reportedly losing nearly $50,000 per vehicle. The struggling automaker will again suspend production later this month after only 2,500 Volts drove off the lots last month.

 

GM has spent $1.2 billion developing the electric car and is still working out kinks, such as the Volt’s tendency to electrocute firefighters and first responders to accidents. The Department of Defense has been involved in that process, helping to test the Volt’s battery safety and capabilities.

 

Obama has made the auto bailout a centerpiece on the campaign trail despite GM’s recent woes. The company’s stock has fallen about 40 percent since it emerged from bankruptcy. GM and its lending arm, Ally Bank, owe $42 billion on their $57 billion bailout. The government still has a stake in GM.

 

The Pentagon’s massive car-buying scheme is the latest example of government trying to help GM raise its sales volumes. The General Services Administration of Las Vegas fame purchased 100 Volts in 2011 for various agencies.

 

http://freebeacon.com/great-green-car-fleet/

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