Consumers Are Paying More Than Ever For Cars

The video discusses the challenges in the car market, highlighting a JD Power study that shows a decline in new car reliability due to supply chain issues, particularly chip shortages. Car prices have reached record highs, impacting consumer finances significantly. The used car market is also affected, with prices rising sharply. Many Americans rely on personal vehicles, making these issues critical. The market is not expected to normalize until 2024, with manufacturers like General Motors producing cars without certain features due to shortages.

What is the primary reason for the decline in new car reliability according to the study?

• Lack of skilled labor

• Higher production costs

• Supply chain shortages

• Increased consumer demand

How much has the average car payment increased to, as mentioned in the video?

• $500 a month

• $600 a month

• $800 a month

• $700 a month

By what percentage did the price of used cars increase compared to May of last year?

• 14%

• 10%

• 12%

• 16%

What percentage of Americans rely on a personal car to commute to work?

• 60%

• 50%

• 75%

• 85%

When do car dealers expect the supply chain issues to potentially normalize?

• 2025

• 2022

• 2023

• 2024