What does Japanese Tsunami and earthquake have to do with prices of toyotas, hondas,

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badeconomyalways

New member
nissan and mazda? It makes no sense. Toyota, honda, nissan etc etc dealers intend to increase prices of cars because they say there was Tsunami. That tsunami was not in America. It sounds like that incident of gas prices going very high after hurricane katrina. is this justified?
http://finance.yahoo.com/news/Dealers-raise-some-car-prices-apf-2312869891.html?x=0
 
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PlutoCeRat

Member
You're awfully quick to blame the Japanese when it's the fault of US richclass Wall Street bankster thieves. You owe the Japanese an apology now.

My question yesterday states:

Why are US richclass banksters buying up YEN to earn profit from tragedy?

US Wall Street thieving slaving grave robbing banksters are at it again. Japanese yen hits record power at 76 yen to the US dollar because US banksters are buying up yen -- with an evil eye to earn profit from human suffering.

US bankster speculation is that - as Japanese insurance companies have monetary holdings overseas - soon as Japanese insurance companies must repatriate monetary holdings to eventually pay claims to domestic policy holders for property damages, Japanese insurance companies will need to buy more yen.

US Wall Street thieving slaving grave robbing banksters plan to profit from that.

So, why are US richclass banksters buying up YEN to earn profit from tragedy?

Driving up yen power further destroys the highly stressed Japanese economy -- as remaining healthy Japanese exporters now experience increasing difficulty exporting products due to increasing prices to buyers.

Wanna buy a Sony? How about a Nissan? Pay up, thanks to US Wall Street thieving slaving grave robbing banksters.

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I strongly recommend you see the Q&A at:

http://answers.yahoo.com/question/index;_ylt=AlUmWkvMlg._Iw1jlM.9ovXsy6IX;_ylv=3?qid=20110317040734AAA5UZB
 
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JacobW

Member
The article you cite has all the answers to this question in it. How can you say it "makes no sense"?

Quotes from your own link:

"The disaster in Japan could slow shipments of popular cars like Toyota's Prius to auto lots."

That represents supply.

"Dealers are acting on the possibility that disruptions in car deliveries from Japan will cause a shortage of higher-demand vehicles.'

That represents demand in a time with high fuel prices.

"Many smaller cars and hybrids are built in Japan, where car manufacturing has mostly stopped in the aftermath of the earthquake, tsunami and nuclear crisis."

What part of this are you not getting? The Japanese have had to close down their production plants in Japan due to a lack of reliable electricity. In full production, they produce about 14,000 cars per day in Japan. They have been down for seven days now and still are not running going into day eight. Then there are all the cars, trucks etc. that were destroyed in the Tsunami to replace Add into the mix that they still haven't gotten the nuclear reactor disaster under control which has the potential to severely restrict their ability to export anything if other countries quarantine them for increased radiation levels on their products.

If you intend to buy a Japanese vehicle, the time is now.

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A

answerplease

New member
Supply side shocks.

Nissan, Toyota and Honda receive a majority (>51%) of their auto parts from Japan and then build the final car in the U.S. That's why their considered imports.

Due to Japan's crisis their will be demand-supply imbalances moving the supply curve to the left but leaves demand unchanged. This leads to a higher equilibrium prices for the vehicles.

In addition these business have to cover the operating expenses with less inventory and turnover.
 
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