The economy is going down fast. It has been bloated for so many years and has been extremely faked by the worlds governments. We are now seeing just where our economy is, the real economy. Jobs are being layed off and so people do not have as much money. As you may have seen and heard the car industry is hurting very badly during this time. Without money people can’t buy cars and so car companies are seeing close to 50% drops in car sales compared to last year. Its not that people do not have money,they still do its just that they are saving everything now.
The New York times is reporting on a interesting story about how cars from Toyota and other car companies are having to moth ball their cars. Each day thousands of cars are being made in plants all over the world. Then they are loaded onto a ship and sent overseas to America and other countries. Well the thing is people are just not buying the cars. When the cars get over here they are not being taken to sellers but the car companies are renting acres of space that is usually used to temporary store containers to store their cars on. Toyota alone has cleared a deal for 6 acres worth of land to store cars on for an unknown amount of time! They even want more land! This has been going on for 2 years now but is getting worse.
Toyota has slowed production down to meet demand but what will they do with all those cars if people are not buying them? Whats really bad is we could have a surplus of 2007-2008 models with no miles on them for years to come. They will only go down in value so its not good for car companies. Cars are being stored at airports and fairgrounds also I read. Its amazing what just a slowdown of the economy can do to some businesses.
Dealerships are actually denying truck loads of cars because they just can’t sell them fast enough. General motors is going to go bankrupt soon they are saying also. Toyota is hurting just as bad though as GM as their car and SUV sales are way down. You may have noticed Toyota’s “Saved by Zero” commercials. Its a sign they are hurting badly,desperate to get rid of a car. If you NEED a new car this is the best time to find one but I suggest you buy a used one. People are almost giving them away.
Take a look at the picture on the New York times article about the cars being stored. Its just amazing to see just how many cars are sitting their with no place to go!