There is a cause an effect for the world-wide auto industry.
If they drop interest rates to rock bottom then you will get a surge in car sales. That is what happened since 2001. Then the housing market crashes, and all of those new cars that were bought on "home equity" needed to be sold ASAP. Then top it off with a gas crisis that dropped the "used SUV" market so low that people are snatching up their favorite Hummers for 1/3 the cost. Why by a SUV at full price when you can get a perfect used one for way below blue book. Ford and Chevy sell the bigger cars, well, when the gas crisis hit the first cars to go were the Fords, Chevys, and those hemi Dodges. There are so many used cars out there right now at great prices. The internet has destroyed new car sales as well. Websites like E-bay, Craigslist and Car Trader has taken the worries out of selling a car. It used to be expensive to put your car in the newspaper, now it is free, and you get as many pictures as you want. That makes it unfair to the automakers. Right now I can either get a 2003 BMW for $12K or a brand new 2009 Cavalier...yah, let me think that one over...
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