Cost and Benefits of Hybrid Cars Essay

Have you pulled your political machine up to the attack pump latterly and been shocked by the higher(prenominal) prices of spatterolene? The automobile industry has the engine room undeniable to address this concern. . Its the interbreeding automobile. Today, at that place ar galore(postnominal) different models show up there in the market and about major manufacturers ar involved in developing them. Hybrid rail simple machines pass on hold on the drivers a lot of cash. The purpose of this paper is to identify the be and show the benefits of this unspeakable vehicle. Identifying monetary value.This section is designed to comp ar and discriminate each(prenominal) the costs that we go away stick out in the decision of purchasing a cutting hybrid car. Itll include al ace monetary costs and solely(prenominal) non-monetary costs. I go forth be comparing the costs of acquire a new hybrid to some opposite regular non-hybrid vehicles in modulate to fr acture prove the differences. A. Gasoline & adenosine monophosphate Car Loan People are obsessed with spending less money on atom smasher. Websites score even been created to support the penny-pinching consumer nonice the cheapest option remnant to home. Hybrid cars get really grave MPG ( mls per gallon).In my opinion, the best way to find out if switching over to a new hybrid car is a good idea is to compare the prices and costs. Ill drug abuse my own car as an extype Ale, if I were to replace my paid- arrive at 1999 Honda Accord, which only gets 25 mpg, with something more economical I would recollect a Toyota Prius or a Corolla. The avocation chart shows how a good deal money I would save if I made the change. 2012 Auto Miles per Gallon (MPG)Monthly Gas model Price Monthly Payment pay Monthly Savings Savings Toyota Prius 55 $ 70. 71 $21,275.00 $386. 56 $(315. 85) Toyota Corolla 36 $ 34. 72 $14,005. 00 $227. 83 $(193. 10) The table above, shows us how a gr eat deal more it is to save if purchasing a Prius over a Corolla (Hensley 2011). On the other hand we fuel see that the sticker price of a Toyota Prius is more costly than the Corolla. The calendar monthly payment above is mensural at a 5. 5% APR. moreover in the immense run we exit be redemptive so untold(prenominal) more if we chose the Prius, because the money that we are saving on gas all(prenominal) month could be used to pay off the difference in the punk Price.With gas prices skyrocketing again like they did in 2008, this volition be the best decision to grass. The next chart will give us more insight on gas prices (Hensley 2011). pic B. Taxes Even though the final interchange price is including levyes, there are many things to note about tax recognize per hybrid car. There is no notice tax credit, and it depends on what vehicle you profane, so remember not to only expunge into account the miles per gallon and price, provided in addition the varying tax break incentives.The proclivity of IRS-certified vehicles is not always the same auto make waterrs note producing hybrids that are qualified and adding them to the list, we train to make sure we look at the updated data. Also, some other thing about hybrid tax credit is that they are reduced every year and eventually is eliminated, so make sure to check out the chassis out dates that are determined by different manufacturers. Credit unions begin to variety out for a given manufacturer once it has sold over 60,000 pensionable vehicles.It is all depending on the year, for example if we go back to 2005, you can save anyplace from $500 all the way up to about $3,400 (Fuel Economy. gov). Some sequences, it can be a guessing game, but remember, we will be saving something and it adds up Vehicles secured after celestial latitude 31, 2010 are not eligible for this credit (Fuel Economy. gov). C. Registration Fees and Other Monetary Costs The registration fee is the amount charged by the state to register a new car, assign a title (legal proof of ownership) and cover the cost of authorise plates.The dealer provides this service for you saving you a trip to the DMV or registry but the money goes to the state. There are other fees that need to be paid when buying a new car such as doc fees, tax the trade-in, taxing rebates and dealer fees. However when buying a Prius those fees will be the same as buying a regular car so further explanation is not necessary (Karim, Layton). D. Non-monetary costs The prison term it charges to go buy a car would be one non-monetary cost. Lets place I was going to go buy today. Since I work 40-hours a calendar week and get paid $9.00/hr, I would have to get at least 10 hours, 5 hours off of work and 5 hours off my face-to-face time. I could use this time to go to the dealership survival of the fittest out the car and do all the loans and transactions necessary. Filling out all that paper work can take a lot of time, and since I am a college student I need time for school as well. indeed my Non-monetary cost is 10 hours of my time from my work-time/personal time. Another cost would be the amount of gas that it takes to drive to the dealership and the time it takes me to travel there.If someone is accompanying me and constituent me decide which car I want, I am to a fault using their time which could be almost as much as my time. Benefits 1. Savings at the marrow All Hybrids get a better fuel economy than their counterparts. 2. disdain restitution Rates Insurance rates can depend on many things such as your capricious record, your age, and it can withal depend on the model car you drive. Driving a Prius will cut down your insurance rate from 5-10% 3. Government attention The Federal Tax credit was too a great benefit although they halt giving it at the end of 2010(Fuel Economy.gov).4. Lower Emissions A fact that should be considered is that 97% of all vehicles in the U. S are dependent on Oil. Also with set out emissions itll help less Carbon Monoxide adding to orbicular Warming. In fact, Regular vehicles create 1/3 of the greenhouse effect (Karim, Layton). The divulge thing here is that the amount of pollution allowed does not depend on the fuel consumption rate your car gets. But a car that burns doubly as much gas to go a mile will generate approximately twice as much pollution. That pollution will have to be removed by the emissions control equipment on the car.So diminish the fuel consumption of the car is one of the surest ways to decrease emissions (Karim, Layton). 5. Special Car-Pool Lanes In some states if you own a hybrid car, you are allowed to use a finical car-pool lane regardless how many population are in the vehicle. After identifying all the monetary and non-monetary costs. We can see that the Sticker price is more expensive than purchasing a regular vehicle. However, in the long run with the gas mileage we will be receiving from this aweso me hybrid technology it will payoff for everything that weve spent.Its configuration of an investment. If we add all the benefits, we can see that we are not only benefiting ourselves when we purchase a hybrid but we are helping the environment and our world (Fuel Economy. gov). much people are buying more hybrid cars everyday, the sales of hybrid cars change magnitude 141% from 2004-2005 (Karim, Layton). In conclusion, I recommend everyone that if they are looking to buy a new vehicle, hybrid is the way to go. All the benefits we adjoin from it are totally worth it, and although the cost might be somewhat high in comparison to other cars, its worth it.Not only will we be saving gas driving to work, school and other places, but also we wont take into as much consideration the price of gas next time we stop at the gas stationReferences Fuel Economy. gov. (n. d. ). Retrieved from http//www. fueleconomy. gov/feg/hybrid_sbs_cars. shtml Hensley, R. , Knupfer, S. M. , & Krieger, A. (2011). The fast lane to the adoption of galvanizing cars. Mckinsey Quarterly, (1), 10-14. Nice, Karim, and Julia Layton. How Hybrid Cars Work 20 July 2000. HowStuffWorks. com. 04 April 2012.