zeenaman:
Personal opinion:

The relationship between cars and Petrol is complementary in nature. Complementary in the sense that, one is needed to augment the other, just like garri and kulikuli.

Going by basic economics principle, there is an inverse price relationship between complementary goods i.e an increase in the price of one results in decrease in the demand for the other. With this, it is conceivable that with increase in the price of petroleum, there will be less demand for cars, hence result in price crash occasioned by excess supply over demand.

Also, from the angle of the Federal government, the rich benefit more from the subsidy. People with ten cars will now find it unfunny fueling the convoy, and this may result in selling off some of the vehicles. This should further increase the supply of cars and drive down the price.

Let's talk about this, do you see the price of cars crashing? Let's leave out the Nigerian factor, corruption and base our argument on fact.

Use the money buy enough Pampers for una piss for body presidiot

zeenaman:
Personal opinion:

The relationship between cars and Petrol is complementary in nature. Complementary in the sense that, one is needed to augment the other, just like garri and kulikuli.

Going by basic economics principle, there is an inverse price relationship between complementary goods i.e an increase in the price of one results in decrease in the demand for the other. With this, it is conceivable that with increase in the price of petroleum, there will be less demand for cars, hence result in price crash occasioned by excess supply over demand.

Also, from the angle of the Federal government, the rich benefit more from the subsidy. People with ten cars will now find it unfunny fueling the convoy, and this may result in selling off some of the vehicles. This should further increase the supply of cars and drive down the price.

Let's talk about this, do you see the price of cars crashing? Let's leave out the Nigerian factor, corruption and base our argument on fact.

very good theory, but those who have convoy would still be able to fuel it conveniently, they are rarely affected

oluwatomiwa:
Especially the V6 and V8 SUVs

Exactly, people are selling off their V6 right now sef

From an economic stand point, demand and supply influence prices but the Tokunbo car sellers operate in perfectly competitive market . Most profits are reasonable. You hardly find a car seller using more than 100-300k to sell a regular car except luxury cars . What I believe will happen is that demand for “Luxury cars” will drop sharply thereby forcing down the importation and price but very slight changes will happen to the price of regular cars .

Secondly, once the palliative come in form of cheap public transport system for the low income earners , car sales will crash drastically.

slawomir:
Damnnn niggar
I don't see any car price crashing

Nothing will crash stop playing ...we are just too greedy in this part of the world

Before the removal of subsidy...a lexus es 350 V6 was sold for between 6.5 million to 7.4million

Go and check again now or wait after one month and check again

Am even thinking people will now buy thier own cars now that fuel price gone up which means public transport will double plus the uncomfortable atmosphere that comes with public transport ...where them dey carry for 200 naira before na 400 naira

From Abuja to Benin city with God is good motor na 27000 thousands naira now...so it will be better you just fuel your own car with 12000 naira and drive from Abuja to Benin city

Or those with cars already can start ride-sharing.

zeenaman:
Personal opinion:

The relationship between cars and Petrol is complementary in nature. Complementary in the sense that, one is needed to augment the other, just like garri and kulikuli.

Going by basic economics principle, there is an inverse price relationship between complementary goods i.e an increase in the price of one results in decrease in the demand for the other. With this, it is conceivable that with increase in the price of petroleum, there will be less demand for cars, hence result in price crash occasioned by excess supply over demand.

Also, from the angle of the Federal government, the rich benefit more from the subsidy. People with ten cars will now find it unfunny fueling the convoy, and this may result in selling off some of the vehicles. This should further increase the supply of cars and drive down the price.

Let's talk about this, do you see the price of cars crashing? Let's leave out the Nigerian factor, corruption and base our argument on fact.

See it's better you see things from the poor man's point of view . Transport cost is now on the high side. I fuelled my car yesterday for #31,000 what used to be just #11,000 . See the masses will suffer for it and it won't smell nice at all. These people are friends and are pure capitalist.
Tell me what is the business of NNPC in setting prices for itself and independent marketers in a deregulated market?

The president. Meant well but he was ill advised by his self acclaimed wise men.

The border should have been opened up first let people cushion the effects themselves by getting goods cheaper. Less harrassement of custom officers at both the border post and the town. Let all immigration and customs officers relocate to the length and breath of the country porous border and stop wearing near uniforms to city center offices where they practically do nothing all through the day.

Give license to modular refinaries to start operations and build more locally made boats for the Nigeria navy to patrol and seize and recover stolen crude oil.

When those who get the license bring in the oil . NNPC should only serve as a regulatory body foe quality and quantity brought not as a price regulatory body. Market forces will crash the price itself.

These fire brigade approach is what is killing the country. We have people who don't mean well in offices.

Are people still buying cars?
85% of people are looking for what to eat sef. If you have ANY car at the moment, you have made it in life.
Quote me anywhere.

It all occurred because Nigerians always blow things out of proportion.

Same we Nigerians that had been saying No to subsidy now it was removed we same Nigerians are shouting.

If Tinubu had waited to affirmed Buhari subsidy removal those evil oil cabals will never let it happen so removing it instantly is welcome then other adjustment follows. "No pain no gain"

Car?

Ki lo kan iru awa wonyii

zeenaman:
Personal opinion:

The relationship between cars and Petrol is complementary in nature. Complementary in the sense that, one is needed to augment the other, just like garri and kulikuli.

Going by basic economics principle, there is an inverse price relationship between complementary goods i.e an increase in the price of one results in decrease in the demand for the other. With this, it is conceivable that with increase in the price of petroleum, there will be less demand for cars, hence result in price crash occasioned by excess supply over demand.

Also, from the angle of the Federal government, the rich benefit more from the subsidy. People with ten cars will now find it unfunny fueling the convoy, and this may result in selling off some of the vehicles. This should further increase the supply of cars and drive down the price.

Let's talk about this, do you see the price of cars crashing? Let's leave out the Nigerian factor, corruption and base our argument on fact.

this is just go read him economic text book.

Price of petrol is an insignificant determinant of the price of cars which would be more affected by government duty on imported cars. Even expected reduction in prices of vehicles will not occur in the short run as those who already imported thirs for sale will not reduce their selling price just because price of gasoline has increased.

The most significant factor in determining the prices of vehicles is the duty paid on them which i believe should rather increase as far as this government is concerned. this in effect means that fewer vehicles would be imported with asking prices still sky high. Prices of nigerian used car being the likely alternative may also go up as it becomes the bride of choice.

zeenaman:
Personal opinion:

The relationship between cars and Petrol is complementary in nature. Complementary in the sense that, one is needed to augment the other, just like garri and kulikuli.

Going by basic economics principle, there is an inverse price relationship between complementary goods i.e an increase in the price of one results in decrease in the demand for the other. With this, it is conceivable that with increase in the price of petroleum, there will be less demand for cars, hence result in price crash occasioned by excess supply over demand.

Also, from the angle of the Federal government, the rich benefit more from the subsidy. People with ten cars will now find it unfunny fueling the convoy, and this may result in selling off some of the vehicles. This should further increase the supply of cars and drive down the price.

Let's talk about this, do you see the price of cars crashing? Let's leave out the Nigerian factor, corruption and base our argument on fact.

Toyota d car affordable by common man will sky rocket

datola:
Hmmm... Its supposed to force down demand on big engine cars (especially) and a such price fall.

However, this is Nigeria and most times issues like this usually defy any economic reasons.

Let's watch and see.

anything wey go up no dey come down again 4 naija ... Except prick and aeroplane

[Qquote author=zeenaman post=123523928]Personal opinion:

The relationship between cars and Petrol is complementary in nature. Complementary in the sense that, one is needed to augment the other, just like garri and kulikuli.

Going by basic economics principle, there is an inverse price relationship between complementary goods i.e an increase in the price of one results in decrease in the demand for the other. With this, it is conceivable that with increase in the price of petroleum, there will be less demand for cars, hence result in price crash occasioned by excess supply over demand.

Also, from the angle of the Federal government, the rich benefit more from the subsidy. People with ten cars will now find it unfunny fueling the convoy, and this may result in selling off some of the vehicles. This should further increase the supply of cars and drive down the price.

Let's talk about this, do you see the price of cars crashing? Let's leave out the Nigerian factor, corruption and base our argument on fact. [/quote]

It could be a two way thing.
Economics principle made us believe price should crash but the two way thing is:
1) buying a used car from the owner may come out cheap but,
2) imported cars (tokunbo or new) price absolutely depends on our exchange rate and custom duty. So, the subsidy removal wouldn't have effect here other than the decrease in importation .

slawomir:
Damnnn niggar
I don't see any car price crashing

Nothing will crash stop playing ...we are just too greedy in this part of the world

Before the removal of subsidy...a lexus es 350 V6 was sold for between 6.5 million to 7.4million

Go and check again now or wait after one month and check again

Am even thinking people will now buy thier own cars now that fuel price gone up which means public transport will double plus the uncomfortable atmosphere that comes with public transport ...where them dey carry for 200 naira before na 400 naira

From Abuja to Benin city with God is good motor na 27000 thousands naira now...so it will be better you just fuel your own car with 12000 naira and drive from Abuja to Benin city

12000 fuel from Abuja to Benin this present nigeria?
Are u normal at all or you mean to say 120k. Fuel?

I learned from the comments. thank you.

Crash una

If exchange rate and custom clearance does not reduce, price of cars won't crash

Even bicycle wey dey use the riders blood as fuel don appreciate in value

Border opened

Supply n demand indices doesn't work in Nigeria...car prices will even go up soon!

post=123613736:
People with ten cars will now find it unfunny fueling the convoy, and this may result in selling off some of the vehicles.
This should further increase the supply of cars and drive down the price.

Bros..... What you need to understand is the elasticity of demand for luxury items is more inelastic as the higher income class compared to the lower income class. What that means is that fuel subsidy removal is not gonna affect people with convoys anytime soon because either they are filthy rich by virtue of their businesses or by virtue of their government money. Just the same way that people keep adjusting to price increases in the cost of beer.

At the lower income class however, demand may contract as people adjust their spending to cope with the economic realities of the times. However it may be paradoxical as demand for fuel efficient cars may increase.

Another factor which people fail to consider is the role of import duties on the pricing of cars. With the ridiculous levies imposed on vehicles by customs, I don't think car prices would come down any soon. If the government changes this policy things could change though

esemes256:
Are people still buying cars?
85% of people are looking for what to eat sef. If you have ANY car at the moment, you have made it in life.
Quote me anywhere.

Cmon bro..

Itz not wat u think..

I have a lovely car which wifey drives cos I'm away.. Would dat mean that I've made it in life 🤔

May God bless us and His grace continue to shower mercies on us..

This should be your prayers as well.

Bless up buddy

There’s a new hike in the tariff for imported cars with effect from June 23. Hence, the prices of cars will likely increase.

slawomir:
Damnnn niggar
I don't see any car price crashing

Nothing will crash stop playing ...we are just too greedy in this part of the world

Before the removal of subsidy...a lexus es 350 V6 was sold for between 6.5 million to 7.4million

Go and check again now or wait after one month and check again

Am even thinking people will now buy thier own cars now that fuel price gone up which means public transport will double plus the uncomfortable atmosphere that comes with public transport ...where them dey carry for 200 naira before na 400 naira

From Abuja to Benin city with God is good motor na 27000 thousands naira now...so it will be better you just fuel your own car with 12000 naira and drive from Abuja to Benin city

12k is 10 litres oo...can it take u from Benin to Abuja? dey play

even bicycle

SirLakes:
Crash una

If exchange rate and custom clearance does not reduce, price of cars won't crash

Even bicycle wey dey use the riders blood as fuel don appreciate in value

Tonnierichy:
Ibadan drivers deserve some accolades. They've not hiked their fares too much. I wonder how they cope those ones.

Seriously they deserve accolade even some area still carry old price and those that increase just add #50 on top old price.

zeenaman:
Personal opinion:

The relationship between cars and Petrol is complementary in nature. Complementary in the sense that, one is needed to augment the other, just like garri and kulikuli.

Going by basic economics principle, there is an inverse price relationship between complementary goods i.e an increase in the price of one results in decrease in the demand for the other. With this, it is conceivable that with increase in the price of petroleum, there will be less demand for cars, hence result in price crash occasioned by excess supply over demand.

Also, from the angle of the Federal government, the rich benefit more from the subsidy. People with ten cars will now find it unfunny fueling the convoy, and this may result in selling off some of the vehicles. This should further increase the supply of cars and drive down the price.

Let's talk about this, do you see the price of cars crashing? Let's leave out the Nigerian factor, corruption and base our argument on fact.

All these your economic theories are correct IF supply (production and assembly) of cars is mainly LOCAL. As long as the bulk of cars we drive is imported, the reduction in price will only be felt on "Naija used". Brand new and Toks will still depend on exchange rate and import duty. The spillover effect of cheaper naira used will be insignificant.

Nigeria doesn't follow basic economic principles. What obtains in other saner climes doesn't happen in Nigeria.

The abnormality is made worse by our complicity as citizens. You can imagine that just two days, in short the day after subsidy was removed, in a filling station with very long queues(both Jerry cans and vehicles) two customers were competing, vying to outspend eachother. The fools had quickly forgotten about the crisis and turned it into a game of some sort.

Has anything's price ever come down after it rose in Nigeria?

wwwkaycom:

My friend put up his 2008 Nissan Pathfinder for sale since April, as of last week, people were pricing it N1.5m - N1.6m which he didn't agree. Yesterday, two different individuals came to price it N900K and N1.1m and all their excuse was fuel price. My friend is regretting not selling it off last week at N1.5 or N1.6m.
This subsidy removal also has the tendency of raising the prices of small cars with high gas mileages such as Corolla, Civic etc while discouraging heavy consumers like my friends 4.0L V6 Nissan Pathfinder especially Naija used ones.

Sorry to put mouth into this mata but, your friend don sell the car?

If no, tell him to be patient. Price will go up soon. Why?
It's either the price of fuel drops due to the way the country is going, which will later cause an increament in the car again.
OR

Nigerians will just get used to the normal price at which fuel is been sold. Let's take the incident that happened early this year to our naira note: when they imposed that law saying old currency was not going to be used again and new ones were the only valid currencies with that of #100, #50....and so on. Who would have agreed that nigerians would withdraw 10k with 5k? We heard stories and astonishing prices because of the cashless period. Now the stuff is biology actually comes to play in humans and business. And that brings about Adaptation. everyone will end up getting used to it because we'll always adapt. Humans are fluid in nature, in fact living things are fluid in nature.

Just to summarize it all. Tell your friend to be patient he'll sell it for the price he had bargained for if he is patient and has a compelling communication with who ever might want to buy

Jeffyblaq:

Cmon bro..

Itz not wat u think..

I have a lovely car which wifey drives cos I'm away.. Would dat mean that I've made it in life 🤔

May God bless us and His grace continue to shower mercies on us..

This should be your prayers as well.

Bless up buddy

Yes bro. If you can afford to buy and maintain a car, you have made it in life. You are doing financially better than most people. Just continue to be grateful to God for that.

worldcop:
Border opened

Really?

Are you sure??