Saturday, March 28, 2009

NYT:

American consumers aren’t buying many vehicles at all, let alone the small cars and hybrids that are clogging dealer lots and creating big inventories for the ailing industry. That S.U.V. in the garage isn’t the costly liability it was last year, when gas prices hit $4 a gallon.

But the American auto industry, under pressure, has invested heavily in the small-car and hybrid market. So it should probably not be a surprise that auto industry leaders like Alan Mulally of Ford have called for higher gas taxes, an idea Detroit once abhorred.

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