Re:The Everything Bubble [infographic]
by heisenbit on Friday September 29, 2017 @10:07AM
(#15365359)
The underlying assumptions of the value of the used cars may well be too optimistic particularly during a crisis period.
That is not counting the systemic risk from regulation e.g. my diesel car is has lost considerable value and there is a non zero risk that I may not be allowed to drive to the city center in two years. The used car market for diesel cars tanked in Germany.
The widespread adoption of electric vehicles makes calculating the remaining value of a car difficult for any period beyond 5 years. When the buyers fully understand that and factor that into discounting future values the regional used car markets will move a step down.
That is not counting the systemic risk from regulation e.g. my diesel car is has lost considerable value and there is a non zero risk that I may not be allowed to drive to the city center in two years. The used car market for diesel cars tanked in Germany.
The widespread adoption of electric vehicles makes calculating the remaining value of a car difficult for any period beyond 5 years. When the buyers fully understand that and factor that into discounting future values the regional used car markets will move a step down.