U.S. BOUGHT 16.5 MLN USED CARS, STUDY SAYS
American motorists bought 16,524,000 used
cars last year at an average cost of 5,833 dlrs each for a
total market of 96.4 billion dlrs, according to a yearly study
by the Hertz Corp.
    The study also showed an increase in used car sales of
about 600,000 units over 1985 volumes while the average price
rose about 400 dlrs.
    But the survey said the typical used car that changed hands
in 1986 was slightly newer at 4.5 years old and 41,140 miles
than in the prior year, when such a car had run 45,270 miles
and was 4.6 years old.
    "The sample shows that retail sales volume for used cars
turned up after two years of decline," said Leigh Smith, a
Hertz Corp. spokesman.
    "And while costs of ownership went up to 25.5 cents a mile
for used cars from 25.05 cents in 1985, they remain 47 pct
under the estimated 48.5 cents a mile cost to own and operate a
new car."
    The increase in activity appeared to be linked to the
record market for new cars, which passed 11.4 mln domestic and
imported models last year because of the unprecedented cut-rate
loan incentive packages offered by the Detroit-based automakers
and changes in U.S. tax laws.
    The incentive campaigns were largely sparked by General
Motors Corp <GM> in an attempt to reverse its slipping share of
the American car market.
 Reuter
