In article <
[email protected]>,
"Jack May" <
[email protected]> wrote:
> "Tim McNamara" <[email protected]> wrote in message
> news:[email protected]...
> > In article <[email protected]>,
> > "[email protected]" <[email protected]> wrote:
> >
> > It's difficult for most people to see how, because social
> > engineering has organized most cities and towns to make it
> > difficult to live without a car. But it can be done- the question
> > is whether any one person can make the lifestyle adjustments.
>
> So what, homeless people live with even much less. It so vapid to
> try to go to extremes to avoid using a car instead of trying to have
> an enjoyable life. The old "evil car" **** is really tiresome and
> worthless.
I didn't say anything about cars being "evil," Jack. That's your
knee-jerk reaction to rational criticism of the car culture, and as long
as you make those assumptions it's going to be impossible to have a
conversation with you.
Living without a car can make very good financial sense. You can
eliminate thousands of dollars per year in costs out of your budget.
Per the Federal Trade Commission, "A new car is second only to a home as
the most expensive purchase many consumers make. According to the
National Automobile Dealers Association, the average price of a new car
sold in the United States is $28,400." That's 69% of the median annual
income in the U.S.
Few people can afford to buy a new car outright, so they finance it.
Most auto loans for new cars are now 60 or 72 months. Today the
interest rate at my credit union for a car loan is 5.99%, which would
result in monthly payments of $548.92 for a 60 month loan, or $6587.04
per year. That's 16% of the U.S. median income. The total cost of the
loan would be $32,935.20.
Add to that the cost of insurance (U.S. average cost $867 per year in
2005) and gasoline (assuming the CAFE standard of 27.5 mpg is met, at an
average fuel cost of $2.75 per gallon and average of 12,000 miles) at
about $1200 per year- this of course will go up. Add in 4 oil changes
at $30 each and we're up to $8,774.04 per year and $43,870.20 over the
five years. And that doesn't include costs for tires, maintenance or
repairs. Or for that matter, registration, license plates, sales tax,
etc. So these figures significantly underestimate the total cost of
ownership. In 2003, the AAA estimated that total operating costs (not
including buying the vehicle) ranged from $6,400 to $8,500 per year.
http://www.kenkifer.com/bikepages/advocacy/autocost.htm
http://www.vtpi.org/tdm/tdm82.htm
Without a car, investing that same money into a retirement account would
produce a significant improvement in your retirement income. If you are
in your 20s and made that investment now rather than buying a car, your
retirement picture would be vastly superior to the people in my age
bracket (I'm 46), many of whom will not be able to afford to retire
until Alzheimer's and other health problems put them into a nursing
home. I put 20% of my income into my 401(k) but it will not be enough
to permit me to retire, given the extremely poor rate of return since
2000 and general under-regulation of mutual funds to protect consumers.
In fact, when accounting for inflation, fees and taxes most 401(k)
participants may lose money on tier investments even if the stock market
performs at a reasonably good average over the next 30 years.
http://www.pbs.org/wgbh/pages/frontline/retirement/world/401k.html
When you do the math, it's hard to justify buying a new car on financial
grounds. A car is a hole in the street that you pour money into. Cars
aren't evil but they are huge money losers for consumers. People buy
cars anyway, in part because they are the victims of social engineering
that began in 1922 at General Motors designed to eliminate
transportation options other than private automobiles for as many people
as possible (search for Alfred P. Sloan and National City Lines).
http://en.wikipedia.org/wiki/General_Motors_Streetcar_Conspiracy
We also haven't touched on the other associated costs of car dependence,
such as the effects on health, because those are very difficult to
quantify and cause and effect is difficult to ascertain with certainty
(except of course, the costs associated with automobile accidents
including death, injury, disability, property damage, etc). More than
44,000 Americans die per year in traffic accidents.
http://www.chiroweb.com/archives/15/09/02.html
http://www.cdc.gov/nchs/fastats/acc-inj.htm
However, common sense tells us that access to cars has a tendency to
reduce exercise and to promote obesity and its associated health risks,
and that emissions from cars can contribute to problems like the sharp
increase in the incidence of asthma and environmental changes (private
cart use accounts for 20% of the greenhouse gas emissions in the U.S.,
according to the Federal government). We also haven't touched on the
subsidies taxpayers pay through the government into this system.
http://www.progress.org/2003/energy22.htm
http://www.commutesolutions.org/calc.htm
http://www.progress.org/gasoline.htm
On the whole, walking or riding your bike rather than driving is a good
contribution to your own health, your own finances and the health of
your city and world. Not owning a car would be a huge contribution to
your economic well-being and, if properly managed, the money saved could
allow you to retire, which is a luxury that fewer and fewer Americans
will have.