Cover: The Prospects for Reduced Automotive Costs.

The Prospects for Reduced Automotive Costs.

Published 1972

by Milton Kamins

Purchase Print Copy

 Format Price
Add to Cart Paperback12 pages $20.00

Investigates various areas of automobile costs that seem amenable to major cost reductions. Costs discussed fall into two categories: fixed costs, which include initial investment costs and insurance costs and are relatively independent of mileage accrued; and variable costs, which include mainly fuel and oil costs and repairs and are roughly proportional to mileage. Prospects of reducing overall automotive costs do not seem at all favorable, mainly because more and more is expected from vehicles as time and technology progress. Although a number of fairly promising concepts are now under study, such as the Wankel engine and some closed-system power sources, only the electric car seems to have enough leverage to reverse the overall trend of rising costs, primarily by removing our dependence on liquid fossil fuels. 12 pp. Ref.

This report is part of the RAND paper series. The paper was a product of RAND from 1948 to 2003 that captured speeches, memorials, and derivative research, usually prepared on authors' own time and meant to be the scholarly or scientific contribution of individual authors to their professional fields. Papers were less formal than reports and did not require rigorous peer review.

This document and trademark(s) contained herein are protected by law. This representation of RAND intellectual property is provided for noncommercial use only. Unauthorized posting of this publication online is prohibited; linking directly to this product page is encouraged. Permission is required from RAND to reproduce, or reuse in another form, any of its research documents for commercial purposes. For information on reprint and reuse permissions, please visit

RAND is a nonprofit institution that helps improve policy and decisionmaking through research and analysis. RAND's publications do not necessarily reflect the opinions of its research clients and sponsors.