Apropos of nothing, I had a drive in a new Tesla the other day. I believe the asking price was around £65k.
I then went to my local Ford dealer and had a drive in a new petrol Ford valued at 22k. I am not sure there was that much to choose between them.
£40k buys a lot of petrol. Or a lot of Vanguard.
Yes, and I agree, except I would buy second hand letting someone else take the depreciation; my car is 18 years old.
But how many other people in the population are driven by such thoughts of economy?
Basing investment decisions on how I would personally behave is not going to be any good if most of the rest of the population bases their buying decisions on a different calculus.
When I look at what folk spend their money on I rarely see economy as a prime driver, more its about wanting what they perceive to be the best. Consequently Apple iPhone X sell in good volume when someone can get something that would do everything they mostly need for a lot less. I have an iPhone 4s; many think this is so old they can't believe it still works.
Why some different calculus would apply to cars I can not see. Sure the Ford is a lot cheaper but if enough folk want a Tesla there is a good business there.