- Jun 8, 2022
CfC did have an affect. It was focused narrowly on the very lowest priced used $ part of the market, so it doesn't show up very well in the overall statistics because as a percentage the dollars were small - but it was there for sure. It hurt the working poor the most, as usual. As posted above there were many articles on it at the time.See that massive drop in new car sales? That's the reason for the spike in used car pricing. When you go from 16 million new cars sales in the US annually to not even 11 million, there will be a lot less used cars on the market. C4C took less than 700k vehicles off the road, we've had storms that have done that.
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The new vehicle sales collapse pushed used prices down as well, but on the newer used market - different segment. I had previously always bought used cars, but I bought new in both late 2008 and 2011 - both at the end of Q3. I got crazy rebates - $5K for the one in 2008 plus huge discount from the dealer. In 2011 not quite as good but close. Was almost cheaper than anything comparable a couple years old.
In economics there is no vacuum.