CNBC takes a deep look at Why American Cars Are So Expensive. This report raises many issues which is actually a positive change from the business press which usually blames it all on labor costs. While labor costs are mentioned it is reflected as just one factor among many that lead to the rising costs of vehicles. Do you agree with their analysis?
Cars once promised independence and transportation for all Americans. Now, they are a luxury product that cost about $50,000, nearly 30% higher than just a few years ago. Affordable vehicles, especially those below the price of $20,000, have nearly disappeared. And while Automakers pulled in record profits in 2023, slim margins combined with deep investments into EV batteries, software and other technology is making it hard to produce cars much cheaper.
(Graphic by Mohamed-Hasan @ Pixabay)
