Comments on: Marginal Cost of Driving http://www.forthgo.com/blog/2007/05/24/marginal-cost-of-driving/ Code and Recreations of Xan Gregg Wed, 28 Sep 2011 02:29:54 +0000 hourly 1 http://wordpress.org/?v=3.2.1 By: Ann Maria http://www.forthgo.com/blog/2007/05/24/marginal-cost-of-driving/comment-page-1/#comment-8091 Ann Maria Wed, 28 Sep 2011 02:29:54 +0000 http://www.forthgo.com/blog/2007/05/24/marginal-cost-of-driving/#comment-8091 Thanks so much for this. Exactly the analysis I was looking for. The bottom line is that is that driving from WI to DC is almost twice as expensive as taking the train, even with the actual price of gas without externalities. The train takes about 4-5 hours longer. Thanks so much for this. Exactly the analysis I was looking for. The bottom line is that is that driving from WI to DC is almost twice as expensive as taking the train, even with the actual price of gas without externalities. The train takes about 4-5 hours longer.

]]> By: xan http://www.forthgo.com/blog/2007/05/24/marginal-cost-of-driving/comment-page-1/#comment-7832 xan Sat, 30 Jul 2011 13:06:53 +0000 http://www.forthgo.com/blog/2007/05/24/marginal-cost-of-driving/#comment-7832 Thanks. It's always better to have actual data. I think the Passat has a bad quality record, so hopefully that number is on the high side of the range. Thanks. It’s always better to have actual data. I think the Passat has a bad quality record, so hopefully that number is on the high side of the range.

]]> By: Michael http://www.forthgo.com/blog/2007/05/24/marginal-cost-of-driving/comment-page-1/#comment-7831 Michael Fri, 29 Jul 2011 23:15:10 +0000 http://www.forthgo.com/blog/2007/05/24/marginal-cost-of-driving/#comment-7831 I was looking for something like this and hit this site. I like the analysis. But I think the maintenance cost is underestimated. I actually recorded all repair and maintenance for two cars for multiple years. A lightly driven Nissan Xterra (7yr 36K mi), the per mile cost is 5.8c. (This is from 0 miles.) On an older car (2001 Passat), I tracked 8 years, from 40K to 100K mi. The average is 16.8c/mi. For sure, the marginal cost is highly variable and is a function of many things. But 2c/mi is very optimistic. I was looking for something like this and hit this site. I like the analysis. But I think the maintenance cost is underestimated. I actually recorded all repair and maintenance for two cars for multiple years. A lightly driven Nissan Xterra (7yr 36K mi), the per mile cost is 5.8c. (This is from 0 miles.) On an older car (2001 Passat), I tracked 8 years, from 40K to 100K mi. The average is 16.8c/mi.

For sure, the marginal cost is highly variable and is a function of many things. But 2c/mi is very optimistic.

]]> By: Dan Connelly http://www.forthgo.com/blog/2007/05/24/marginal-cost-of-driving/comment-page-1/#comment-6271 Dan Connelly Fri, 01 Aug 2008 13:47:11 +0000 http://www.forthgo.com/blog/2007/05/24/marginal-cost-of-driving/#comment-6271 I realize this is a bit old, but wanted to comment anyway. You miss a marginal risk of a crash, which could have associated medical as well as repair costs, where costs are a combination of out-of-pocket and increased insurance costs. Consider a given driver drives with a risk of serious collision per 200k miles (I made this up, but it obviously varies substantially per individual). If the cost of a collision is $10k (a non-normal distribution, with a long positive tail, as a fatal colliision is obviously much more than this), then this would add 5 cents/mile. I realize this is a bit old, but wanted to comment anyway. You miss a marginal risk of a crash, which could have associated medical as well as repair costs, where costs are a combination of out-of-pocket and increased insurance costs. Consider a given driver drives with a risk of serious collision per 200k miles (I made this up, but it obviously varies substantially per individual). If the cost of a collision is $10k (a non-normal distribution, with a long positive tail, as a fatal colliision is obviously much more than this), then this would add 5 cents/mile.

]]> By: xan http://www.forthgo.com/blog/2007/05/24/marginal-cost-of-driving/comment-page-1/#comment-5870 xan Mon, 28 May 2007 22:56:46 +0000 http://www.forthgo.com/blog/2007/05/24/marginal-cost-of-driving/#comment-5870 Thanks, Anli. I should have made the hidden cost an extra line item, but it's easier to quantifies as a gas tax. Scheduling is not a problem since I can always continue work from home if I have to leave in the middle of something. Time is a factor, since the commute grows from 30 to 50 minutes each way when taking the van. But it's not so bad if you can read or think while on the van. Thanks, Anli. I should have made the hidden cost an extra line item, but it’s easier to quantifies as a gas tax.

Scheduling is not a problem since I can always continue work from home if I have to leave in the middle of something. Time is a factor, since the commute grows from 30 to 50 minutes each way when taking the van. But it’s not so bad if you can read or think while on the van.

]]> By: Anli http://www.forthgo.com/blog/2007/05/24/marginal-cost-of-driving/comment-page-1/#comment-5869 Anli Sun, 27 May 2007 23:28:04 +0000 http://www.forthgo.com/blog/2007/05/24/marginal-cost-of-driving/#comment-5869 Very interesting. So for a fuel-efficient car the real big cost is depreciation. I think your 5$/gallon is overboard since the 'hidden cost' are there regardless of your behavior. How about the time and scheduling? How much longer does the van take and is the schedule convenient? Very interesting. So for a fuel-efficient car the real big cost is depreciation. I think your 5$/gallon is overboard since the ‘hidden cost’ are there regardless of your behavior.

How about the time and scheduling? How much longer does the van take and is the schedule convenient?

]]>