Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-02-24
FORECASTS HUGE
. OUTLAY IN AUTO
E. P. Blanchard Fixes Ex-
penditures for 1929 at
$500, 600, 900.

TIE American public will spend &c.
800 GOO 900 for automobiles, replace
meht parts and accessories during the
year 1929. according to compilations
r0sde public recently by z. P. Blan-
chard, general chairman of the pro-
auction division of the American Society
Of Automotive Engineers.
OF this sum. S5,400 100000 will be
spent for automobiles and trucks. and
$l,200,000,000 for accessories and re-
placement parts The total unit pro-
auction of automobiles and trucks for
1929 is placed at 100000. The average
retail price is figured at 5000 per car.
Tires. gasoline and replacement
parts, which make up the basic oper-
ating cost of automobiles, cost the
public S4,122 100000 in 1929" Mr..
Blanchard said Approximately S2,172,-
100000 was spent for gasoline, 81 ,000,-
10000 for tires. and S950,000,0 900 for
replacement parts.
Amount Invested in Cars Alone.
'The total spent for automobiles them
selves in 1928 we estimate at $4,153,-
GOO 900. Consequently. the amount
spent by the public for operating and
maintenance of automobiles last year
about equaled the amount spent for
-.
THE rapidly increasing purchasing
power of the public has been an i'm
portant factor, in the increase in the
number of cars bought annually. An
even more important factor, however,
has been the steadily decreasing re-
tail cost of automobiles and trucks.
This decrease has been made pos
sible chiefly because of astonishing
developments made in high-Speed,
multiple machinery for the manu-
facture of automobiles. Cost pro-
Iduction of single parts of automobiles
has been decreased by as much as so
per cent, in many instances.
The reflected savings to the manu-
facturer have been handed on to the
consumer and have made it possible
for persons with a fixed income to buy
automobiles who could not think of
their purchase few years ago.
Compared With COuntry's Income.
1T is interesting to note the relation
OF the amount of money spent for auto
mobiles to the amount of the countrys
income. The 1928 gross income was
estimated at $90,O00,000,0 900. OF this it
is estimated that $4,000, 900 600 was
surplus income. Consequently, with the
automobile and replacement parts bill
for 1928 placed at $5,103, 500, 900, the
public spent approximately 80 per cent
OF its surplus income for motor
vehicles.
"A more accurate picture of the i'm
portance of the automobile in the
family budget, however, is obtained
when to the total cost of automobiles
and parts is added the cost of gasoline
and tires purchased Compilations lust
completed for these items show that the
public paid about 2,l72,000, 900 for
gasoline last year, and about $1,000
100000 for replacement tires, or a
total for these commodities of $3,l72,-
100000.
Basis of Estimate.
"This, added to the total for auto
mobiles and parts. makes a grand total
of $8,275 100000, or roughly SIS per cent
OF the country's surplus income.
Adding the 1928 gasoline and tire
cost to the actual automobile and parts
cost of $500, 100000 as estimated for
1929, it will be seen that the public will
spend something in excess of $4,000
100000 for automobiles and the things
that they require during the coming
year.