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Strelnikov_ Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-16-06 09:54 AM
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Griping About Gas Prices ... In A New SUV

May 22, 2006 issue
http://www.msnbc.msn.com/id/12777854/site/newsweek/

With all the histrionics about rising gas prices coming out of Washington these days, SUVs must be an endangered species in our nation's capital, right? Well, not exactly. At Capitol Cadillac, just inside the Beltway, SUVs are flying off the lot. Last week, former White House chief of staff Andy Card dropped by to pick up a new SRX, Caddy's midsize SUV, says dealer Daniel Jobe. But Jobe's hottest seller, by far, is the newly redesigned chrome-encrusted Cadillac Escalade, an incredible hulk that gets 13mpg in the city. "My biggest problem is not gas prices," says Jobe, "it's getting enough of these trucks."

Grousing about gas prices has become our new national pastime. As it turns out, we're griping while we guzzle. Since Katrina gave us our first $3 pump prices last fall, gasoline consumption in this country has actually risen, confounding the energy experts who recall how much we throttled back on our gas usage following the '70s oil shocks. Where are we burning all this gas? In big, powerful cruisers. One in four new models today comes equipped with a gas-thirsty V-8 engine—which is unchanged from last summer, before gas prices spiked, according to new data from J.D. Power. And some of the best-selling rides on the road today are GM's trio of beefy new SUVs—the Chevy Tahoe, the GMC Yukon and that blingy 'Slade, which saw its sales surge 127 percent last month.

. . .

Those spikes and swoons at the pump have conditioned drivers to expect that a better deal is always coming soon, energy experts say. "Folks still think if they hold their breath long enough, we'll get back to $1.50 a gallon," says Ken Goldstein, economist for the Conference Board, which just reported that consumer confidence reached a four-year high in April, even as gas prices soared. "People are not about to trade in that Hummer." Brian Dalby just traded in an SUV—for an even bigger one. "I like to look down on traffic," says the Grosse Pointe, Mich., real-estate developer, who swapped a 16mpg BMW X5 for a 15mpg Chevy Tahoe. "Besides, gas won't stay above $3 a gallon all summer."

. . .

A generation ago, gas misers ruled the road. And that put Toyota and Honda on the map in America, as boomers embraced their little fuel sippers. But today's gas crisis is playing out very differently: Honda is cutting production of its slow-selling Accord hybrid, while scoring record sales of its SUVs and pickup trucks. "We've become a nation of truck buyers," says Honda senior vice president John Mendel. "Just because fuel is moving from $2 to $3 a gallon, everyone is not going to go back into cars. People will continue to buy big vehicles." And gripe about gas prices.

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Warpy Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-16-06 10:04 AM
Response to Original message
1. I haven't seen that around here
because most of the temporary tags I'm seeing are on CARS, not monster trucks and SUVs. This is quite different from what I saw last year, when the trend was the opposite.

I lived through the 70s, and I saw the same thing then. I have no idea who is buying all those SUVs, but a fair guess may be that the attractive deals the car companies have been offering on them to unload them after stagnant sales over the winter is a clue to their sudden popularity.


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Strelnikov_ Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-16-06 12:01 PM
Response to Reply #1
8. Me Either. I Just Returned From A Trip Where There Were A Lot
of SUV's and pickups with 'For Sale' signs in their windows parked in the informal 'display lots' along the streets and highways.

Then again, we are pretty far from the halls of corporate and government power. The view is a little different from down here.
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depakid Donating Member (1000+ posts) Send PM | Profile | Ignore Wed May-17-06 07:31 AM
Response to Reply #1
9. Consider the source. N/T
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phantom power Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-16-06 10:13 AM
Response to Original message
2. John Mendel doesn't get it.
Brian Dalby's quote explains it all: "Besides, gas won't stay above $3 a gallon all summer."

If people are still buying gas-guzzlers, the reason is that they still think these prices are some temporary aberration. That, and the dealers are practically giving them away.
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kestrel91316 Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-16-06 10:18 AM
Response to Original message
3. My BF finally quit griping about the cost of filling up his Silverado
pickup, and plans to ride his bike to work (with electric motor assist, lol). Seems a bunch of guys at his office did it, so he got the brilliant idea to do it.

I suggested he ride his bike to work over a year ago, but he just said, "No way!!!" then.

Oh well, better late than never. He's getting the idea.
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fed-up Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-16-06 10:24 AM
Response to Original message
4. Those of us with economy cars are paying for those gas HOGS to waste
Edited on Tue May-16-06 10:29 AM by fed-up
what little petroleum is left.

Any vehicle that doesn't get at least 25 MPG should have to pay double at the pump unless they can document that they actually need the space for work purposes that a larger vehicle provides.


edited to add I wish Honda had kept making their Civic Wagovan, as I need to replace my 1989 which currently gets 30 MPG.

Because the sheeple ignored all the warnings about peak oil and fell for the ads and hype surrounding SUVs the Wagovan was only produced for a few years to make way for their CRV which only gets 22-24 MPG....
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Strelnikov_ Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-16-06 11:54 AM
Response to Reply #4
7. It's Called Rationing By Price
K-Street lobbyists will have no problem affording the high priced SUV go-juice.

Meanwhile, the 'Communist' Chinese command economy has imposed a 25% 'gas-guzzler' tax (or were at least seriously considering it last I heard).
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TheFarseer Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-16-06 10:26 AM
Response to Original message
5. I keep seeing SUVs and Hummers in transit
so people are buying them here. In fact, half or more of the vehicles on the road are a SUV or a pickup. It seems like I used to see more Priuses and Civics on the road, but not as many now. I can't figure out what people are thinking.

Gas is going to go down this summer?!?! That would be truly shocking. Have these people looked at the supply and demand numbers? Coincidentally, gas is up about 15 cents here overnight. With oil down 2+ dollars yesterday, I'm a little surprised.
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Boomer Donating Member (1000+ posts) Send PM | Profile | Ignore Tue May-16-06 11:10 AM
Response to Original message
6. Looking out my office window...
Edited on Tue May-16-06 11:10 AM by Boomer
Almost every vehicle in the parking lot (except mine) is an SUV or pickup truck. All of them carried one person to the office and are parked all day long.

I go to the mall and I'm lucky if I can even find my car in the parking lot because it's hidden behind all the SUVs and trucks.

Yeah, that's what everyone needs a Jeep Grand Cherokee for -- to drive to the local mall. :eyes:
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