Were cars more or less expensive in teh 60's and 70's. I never could find the inflation figures to figure this out...

Like a $20,000 car today would have cost $x,xxx in 1960, $x,xxx in 65, xx,xxx in 1970, and so forth. MY mom always rambles on about how cheap cars used to be ($2-6,000) in the 60's and blames all the computers they put in them and the UAW for how much cars cost now. I argue with him that it's inflation because you could buy a house for 20,000 then that would cost $150,000+ now. Anyone have some hard facts on this?

 

That is a good question. I never put much thought into the ratio of the cost of living:avg wage:cost of a car was. hmmmm

I would like to say that it is close to being equal, back then making 30k a year was like being rich compared to 30k now is poverty in some areas like the NE.

 

In recent year, we've actually seen some automotive deflation, especially in the crowded sub-luxury market. For instance, the CTS is about the same price as the old Catera, and the pricing on a mid-sized 6-cylinder Mercedes is barely higher than 12 years ago.

However, many Americans have seen their standard of living decrease. I can think of someone who had a $30k/year job in 1970, and the same job is now paying $70K/year. Just to campare value, in 1970 the salary was the equivilent of 3 Cadillac DeVilles as opposed to just 1.75 today. In addition, we've seen a huge real estate spike in the last decade, as well as huge increases in utilities, health care and local taxes. It amazes me that Americans spend as much on vehicle as they do.

 

Here's what a car that costs $20,000 now would have cost in years since 1950.
Figures adjusted for inflation versus 2002 dollars.
Dollar adjustment figures found at this inflation calculator:
http://www.cjr.org/resources/inflater.asp

1990 - $14,500
1985 - $11,940
1980 - $9,140
1975 - $5,960
1970 - $4,300
1965 - $3,500
1960 - $3,280
1955 - $2,980
1950 - $2,680

 

Uh . . .

http://web.camaross.com/forums/showt...hreadid=112181

By the way, using the figures from the previous post, the base price of a 1965 Corvette convertible would be $23,462.

 

awesome find. thanks.

 

Now take the price of a car and add into the following recomended budget of your entire family income "after" taxes (around 30% of your income is taken through taxation):

36% of income should be for Housing (rent/mortgage, taxes , utilities, and repairs)

22% of income for food (breakfast, lunch, dinner, alcohol ,and snacks) and toiletries

16% for Car (loan, fuel, car insurance , and repairs)

5% for insurance (life, health, and medical)

5% Clothing (even underwear)

8% Entertainment (movies, races, sporting events, vacations, and weekend trips)

8% Misc. (savings, investing, or new car mods :-D)

If you (and your wife included) make a grand-total of $50,000 a year "after" taxes (or around $70,000 "before" taxes) your "monthly" budget should look like the following:

$1,500.00 for housing

$924.00 for all food and drink

$672.00 for all CAR expenses (total for all cars even if you have more then one)

$210.00 insurance (other then car)

$210.00 for clothing

$336.00 for entertainment

$336.00 for misc.

Of course who cars about clothing or investing and Im sure most of us could skip a meal or 2 each day so more money can go into our cars, right? Heck, some of us would be happy to sleep in the garage with the car so even more money can go for aftermarket mods

 

If a person is only making $30,000 after taxes then their monthly car expense (including car payment and insurance) should be around $475-$500 max.

That equals out to be car that sold between $25,000-$30,000 and other factors such as finance chargers and tax and yearly licensing fees need to be added in.