In constant dollars cars are actually pretty much the same as they were 40+ years ago when you compare similar types and trim levels. A new Honda Civic for example costs about the same when you take into account inflation as the Civic I bought in 1989.
The average price people are paying for a new car now is (in constant dollars) about twice what it was back when I got that '89 Civic, but that is because a larger percentage of buyers nowadays are buying bigger and/or more luxurious cars.
It's quite remarkable when you take into account how much more technology and safety features are in new cars. My '89 Civic didn't even have cruise control.
The average price people are paying for a new car now is (in constant dollars) about twice what it was back when I got that '89 Civic, but that is because a larger percentage of buyers nowadays are buying bigger and/or more luxurious cars.
It's quite remarkable when you take into account how much more technology and safety features are in new cars. My '89 Civic didn't even have cruise control.