alt Hacker News> still pretty inexpensive
Can we stop being so out of touch and/or deluding ourselves to believe $35k is “pretty inexpensive” for people not living in a bubble; whether that is the Americas bubble or the tech bubble within the bubble or the urban bubble within that; let alone for a tiny two seater electric truck that has a 200 mile range.
The 45th percentile, i.e., the bottom 90% have a median income of roughly $40,000. $35,000 for a enclosed covered or even hatchback type mini SUV is not reasonable and you know very well when they come out with that, it’s going to be at least $40,000. None of that is inexpensive or even pretty inexpensive. That’s just rationalization and coping, trying to convince ourselves and others of things that are incongruent.
“Pretty inexpensive” would be an enclosed bed version that cost $22,000 maybe.
For additional context; the industry standard measure of income to cost ratio has risen from 9.3 weeks of household income gross pay for a baseline vehicle, i.e., civic, in 1973 to, 16.5 weeks of gross pay in 2024; and that’s based on the fraudulent official inflation numbers.
Yet more context, a civic can seat 5 people and still has a range of 450 miles on a tank of gasoline that you can find all over the place, even in far off rural places OSD puppy can carry gasoline with you if need be.
There is no sense in rationalizing and deluding ourselves about the real limitations that still exists that are real and are why adoption is not matching imaginations.
Replies
There are lots of vehicles available for $22K. On the used market. Buying new is a privilege.
A $35K vehicle will reach $22K on the used market a lot faster than a $60K vehicle will.
I completely agree. A base Prius is $30k. A base Kia Niro is $27k. Those are hybrids and not EV's, but 50+mpg is not bad. Those also come with power windows and many other features and creature comforts that the Slate doesn't.
$35k is not outrageous for a new car, but the Slate is supposed to be affordable basic transportation. Slate is selling barebones, stripped down basic transportation for the price of a middle class family car.
A new Honda Civic is $25k, so the same as the Slate. The average new car price in the US is $50k, so double the Slate base price and still significantly more than the upgraded Slate I built. As far as I can tell, the US market has only one sub-$20k car - the base Nissan Versa.
In '73 a Chevy Nova just under $2500, which CPI is just under $20k. Median household income was around $12k
$25k is about right for a cheap new car today (you can get a few base models for less than that, but good luck finding one). Median household income is around $83k. So a cheap new car cost went up by 10x but income only went up by less than 5x. Inflation implies it should cost 8x as much, but it costs 10x as much.
Of course the Chevy Nova didn't have ABS, airbags, a touch screen, an automatic transmission, power steering, or retractable seat belts. Car companies could make models without some of these (though most are required by law; can't even have a car without a screen since RVC is mandated). But now they would be competing with used cars that have most, if not all, of these things and cost less.
> Can we stop being so out of touch and/or deluding ourselves to believe $35k is “pretty inexpensive” [...] let alone for a tiny two seater electric truck that has a 200 mile range.
It suppose is "pretty inexpensive" compared to other new trucks you can buy right now. However, my much more equipped, full size truck cost less, inflation adjusted even, than this thing when it was new. Today's truck market baffles me.
> tank of gasoline that you can find all over the place
I can find electricity in far more places than I can gasoline. It even comes out of my walls. Do you have gasoline piping throughout your home?
Most people don't buy new cars, they buy used cars. Particularly in the bottom 45%, they know they can't afford a new car - they might look at them but they know they know it is a dream (or the car they will buy in 5 years). Car makers know they can only charge this price for a new car because in 3 years it will still have a lot of value left - most new car buyers never pay the full price: they only pay the difference between the cost and the value in 3 years (plus interest).