May 19, 2008
Cross-Price Elasticity of Demand: Scooter Edition

From today's RN-T:

The price of gas is $3.75 a gallon and rising. The convenience of pay at the pump, buckle up and go has left most dragging. The high cost of gasoline is stressful, but local scooter and motorcycle owners are trying to leave those gas guzzling ways behind them.

Jaime Maddox, 28, a medical assistant at Rome Family Dermatology and mother of two, is not your ordinary biker. She had never owned or ridden a two-wheel motorized vehicle before getting her scooter.

Road safety is a big concern for first-timer Jaime. However, saving money is a bigger concern for the Maddox family.

Her husband, Chad Maddox, makes an 80-mile round trip commute to Dalton [so] Jaime and her husband made an economical decision to downsize.

She recently purchased a red Suzuki Burgman 400, with an electric starter and automatic transmission, which gets 70 mpg. She is able to fill her tank for about $14.

Her main vehicle is a 2007 Chevy Trailblazer, which takes $73 to fill up and usually is refilled once a week.

Rebecca Arendt, general manager of Honda and Suzuki Sales, estimates motorcycle and scooter sales will rise this year about 15 percent.

John Cummings, owner of Easy Living Yamaha, estimates a 7 percent increase in scooter sales since last year.

Posted by E. Frank Stephenson at 08:13 AM in Economics

The statesman who should attempt to direct private people in what manner they ought to employ their capitals would not only load himself with a most unnecessary attention, but assume an authority which could safely be trusted, not only to no single person, but to no council or senate whatever, and which would nowhere be so dangerous as in the hands of a man who had folly and presumption enough to fancy himself fit to exercise it. -Adam Smith

Our Bloggers
Joshua Hall
Robert Lawson
E. Frank Stephenson
Michael C. Munger
Lawrence H. White
Craig Depken
Tim Shaughnessy
Edward J. Lopez
Brad Smith
Mike DeBow
Wilson Mixon
Art Carden

Blogroll

Search

Archives
By Author:
Joshua Hall
Robert Lawson
E. Frank Stephenson
Michael C. Munger
Lawrence H. White
Edward Bierhanzl
Craig Depken
Ralph R. Frasca
Tim Shaughnessy
Edward J. Lopez
Brad Smith
Mike DeBow
Wilson Mixon
Art Carden

By Month:
November 2008
October 2008
September 2008
August 2008
July 2008
June 2008
May 2008
April 2008
March 2008
February 2008
January 2008
December 2007
November 2007
October 2007
September 2007
August 2007
July 2007
June 2007
May 2007
April 2007
March 2007
February 2007
January 2007
December 2006
November 2006
October 2006
September 2006
August 2006
July 2006
June 2006
May 2006
April 2006
March 2006
February 2006
January 2006
December 2005
November 2005
October 2005
September 2005
August 2005
July 2005
June 2005
May 2005
April 2005
March 2005
February 2005
January 2005
December 2004
November 2004
October 2004
September 2004
August 2004
July 2004

Powered by
Movable Type 2.661

Site design by
Sekimori

XML