Automobile Prices Going Up...Way UP?



Is this the Luxury car of the Future?

Brace yourself. The cost of a new car in America is set to explode, skyrocketing by thousands of dollars, all thanks to a new regulation proposed by President Barack Obama's Environmental Protection Agency and the National Highway Traffic Safety Administration.

Under a new 893-page proposal unveiled last week, automakers must hit a fleet-wide fuel economy average of 54.5 miles per gallon by 2025--double today's 27.3 standard. The government says it would cost automakers $8.5 billion per year to comply, which means a spike in sticker prices of at least $2,000 to $2,800, according to official projections. Other estimates peg the added costs at $3,100, and that could go even higher. As The Wall Street Journal writes, "Vehicles that currently cost $15,000 or less will effectively be regulated out of existence." Read more.