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Tag: executive wheels

Thank You, Inflation

Inflation in our economy has reared its ugly head for the first time in over 40 years, at the rate of 7.04 percent for the 12 months ending in December. I hear everywhere from people that it is hitting the pocketbooks of everyday Americans pretty hard. Of particularly hard-hit areas, consider that the consumer price index for food prices was up in December 6.3 percent over the previous year, used car and truck prices are up something like 37 percent with new cars clocking a 14 percent jump, gasoline prices are up 50 percent year over year, natural gas prices nearly doubled in 2021, and housing costs are on the rise — rents, yes, but especially in home building. There are many other sectors posting significant price increases as well, like apparel, appliances and other household goods, and electronics.

What’s fascinating to me about all of this is that inflation has been so relatively low for so long — posting years and years of rates hovering in the 0 to 3 percent area since the early 1980s — that most people under 60 years of age have no experience with inflation, and those of us over that age have gotten used to those mild hits and don’t remember much about the big bouts.

I do, though. Just as I was, as they say, coming of age in 1974, the inflation rate for the year topped 12 percent and was very hard on the populace. That autumn, our very new and unelected president, Gerald Ford, announced a big-deal program called Whip Inflation Now, WIN, and with a rousing speech and programs asked the American people to curtail spending, plant “victory gardens,” carpool, turn down thermostats, and put more money into savings. Also, the White House asked Americans to send in their ideas on how we could all “whip inflation;” in return people were sent a very nice WIN button that would signify how we were on the anti-inflation team. (I wish I still had mine.) The program didn’t work, of course, as inflation continued to surge for another eight years or so, costing Ford the 1976 presidential election and then also claiming his successor, Jimmy Carter, a re-election attempt in 1980.

Each era, of course, has its own causes for inflation, and back then it really began with the end of the Vietnam War coupled with the 1973 OPEC oil embargo, an energy crisis that hit us hard for years. Today it was set off by the worldwide COVID pandemic and the subsequent supply chain issues, both events that have hit the laws of supply and demand very hard, fueled by unusually enormous government spending.

In any case, inflation has always been cast as an economic villain, “hitting” people in the wallet and disrupting everyday life. But in this case inflation may just be the thing that our economy needed.

With the Federal Reserve Bank apparently poised to raise interest rates perhaps as much as four times this year to damper inflation – a less flashy modern day Whip Inflation Now program – we could easily start to see benefits essentially created by inflation. Higher rates will dampen demand for housing and perhaps cool the record hot real estate market, and also cool off demand for cars and other big-ticket items. Prices may not come down, but they could plateau for a time and that will eventually be a boon to us all.

And I am encouraged by the news that computer chip manufacturer Intel is planning to invest $20 billion in two plants near Columbus, Ohio, to make the chips here in America rather than overseas. This move, I believe, is in response to worldwide inflationary constraints and may just be the first salvo in an economic push to move more manufacturing back to U.S. soil and stability after years of movement out of the country. These goods will eventually cost more, but the broader benefits to the economy in domestic production will resonate throughout the country.

So thank you, inflation. We could all use a period of chilling out, taking a breath after years of go-go and more-more, and reassess what we really want. Whip-Up Inflation Now, a real WIN disguised as a problem.

 

Jeff RundlesJeff Rundles is a former editor of ColoradoBiz and a regular columnist. Read this and Rundles’ blog, Executive Wheels, at ColoradoBiz or email him at [email protected]

This 2020 Mercedes GLB is the way to go

2020 Mercedes GLB 250 4Matic SUV

Because of all the technology they put into cars these days, some of it way too complicated for its own good, I often get into a car that has just been delivered for review and start driving to see if the technology is intuitive enough to operate on the fly. Many times I have to pull over in a couple of blocks or so and check myself, but when I got behind the wheel of this Mercedes GLB 250 I picked up most of the important things right away. For some reason I just said out loud, “Mmm Mercedes,” and to my astonishment the car spoke back. “What can I help you with?” a female voice inquired. I bit. “Tune the radio to XM channel 26,” I said, and lo and behold it did.

What a wonderful feature. By voice, I changed the radio bands and stations, altered the temperature, fan speed and direction in the climate control, called up the map and initiated navigation. A friend of mine even asked, “Mercedes, what is Abraham Lincoln’s birthday?” to which Mercedes replied, “Abraham Lincoln was born on February 12, 1809.”

Like many luxury cars, the operation of these technological and entertainment amenities through the mouse-like pad in the console is a bit cumbersome, but with the voice command feature it becomes no big deal. Of course, it’s not perfect, as anyone who “speaks” to Alexa, Siri, Google, et al, can attest.

I know there are features like this in many cars these days, especially luxury cars, but in my experience, this was the easiest I have ever seen.

Besides, I’m biased. I have always been a Mercedes man. I like the way they drive. I like the way they feel. I like that of all the “luxury” brands – and especially BMW – the electronics/technology has never been so complicated that you couldn’t figure it out without consulting the manual or getting a PhD. In Mercedes I always feel safe, secure, and a little pampered.

For my money the GLB is the way to go. Not too big, not too small, the perfect combination for the city commute and hitting the highway. I did both and found it to be extremely admirable, as in I would love to own this vehicle. Around town it had plenty of power and great visibility (it sits up nice and high), yet it is small enough to fit into even downtown parking spaces.

But it was a weekend drive into the mountains that really cut it for me. The vehicle drives wonderfully, there’s no other way to put it. It is very quick when you need it, very smooth at all times, and also very quiet. And while I drive in the mountains often, this particular day I sort of haphazardly chose the curviest route ever – many turns and “esses” and switchbacks — and the handling was, as I wrote in my notes on the day, “amazing.” You have full control, and it was a pleasure to drive. And the power from this 2.0-liter in-line 4 turbo engine, putting out some 221 horsepower that felt like more, was impressive.

2020 Mercedes Glb 250 4matic Int

This 5-passenger SUV was very roomy in the front and second row seating areas, and had plenty of room in the way-back for groceries and cargo and gear. Plus the liftgate in the back was automatic with the kick of your leg under the back, so as a hands-free option for loading and unloading it was great. Also, there was a huge, two-part sunroof, over the front seas and the second-row seats, with a fabric cover that let in a ton of light when close, and a ton of air when open. I loved it.

Of course, this GLB had all of the modern bells and whistles both in terms of safety equipment (e.g., blind spot monitoring, emergency braking) and entertainment (satellite radio, Bluetooth, all app hookups, navigation), so I needn’t go into the details. What was different here was the area for the dials and gauges in the dash. Normally vehicles have a dash board, and in them you find instrument panels for speed, RPMs, tachometer, and all of the other information notes these days. Her though, the dash was kind of flat and the instrument panel was a 2.5-feet wide by 8-inches tall glass panel, like a TV screen. It was at first disconcerting, being so different, but I soon got used to it and found the lack of typical dashboard structure to be freeing.

Now the base price on my test drive model was not the $36,000 mentioned above, but rather $38,600 because this one was a 4Matic all-wheel-drive equipped model. They added on a few of the things I mentioned – panoramic sunroof ($1,500), a suspension with an adjustable damping ($990), and some premium stuff – and the bottom line came to $51,210 on the sticker. That seemed perfectly reasonable to me. That’s what a car of this quality, and equipped like this should cost.

If I was in my hey-day of hectic career and a young family, this is the car I would own.

RATING: 4 WHEELS OUT OF FOUR.

The 2020 Toyota Sequoia is a special vehicle

2020 Toyota Sequoia 4X4 TRD Pro

I was raised in the era of big cars and I have always liked them, particularly SUVs, although in the 1960s we didn’t call them that. I learned to drive in my mother’s Chevrolet Impala station wagon and my father’s Buick LeSabre, and I drove around a lot in my friend Tim’s parent’s 1964 GMC Suburban.

Fast forward 50 years and driving around in a big, gas guzzling vehicle is frowned upon as an example of conspicuous consumption. I have to admit, I felt a little self-conscious getting behind the wheel of the Toyota Sequoia, a big full-size SUV with some pretty unimpressive gas mileage statistics: 13 mpg city/17 mpg highway/14 mpg combined. But once I drove it around for a while – especially a nice mountain drive on a leisurely Saturday–I really didn’t care. It’s big, it’s heavy, it drinks gasoline like a sot, it takes up too much space, it’s hard to park–and it is absolutely a dream to drive. Never felt safer in any other vehicle, and it is most gratifying to notice that other drivers who would always casually poke their (car) noses out in front of a lessor vehicle simply cower and back up when the Sequoia is approaching.

While gas guzzlers were the norm back in the day, today they are anomalies; you just don’t see that many of them on the road (except for big pickup trucks, of course). But the sales numbers aren’t that impressive. It’s a niche, to be sure.

For example, Sequoia sales in 2019 in the U.S. were 10,289 units. Just before the effects of the Great Recession, in 2008, Sequoia sold more than 30k units, and if you go back to 2002 U.S. sales of this large SUV passed the 70,000 units per year mark. By contrast, the same dynamic exists in sales of the competitive brands, although in the large SUV category Toyota is way behind the mainstay American brands. The Chevrolet Suburban, back at the turn of the century, was selling in the range of 150,000 units a year in the U.S. Those sales dropped off to under 50k units a year after the recession, bounced back to 60,000 units in 2018. Last year, however, the Chevy Suburban dropped off to just 51,928 units sold in the U.S.

So why choose a slow-selling Toyota large SUV as opposed to the Suburban? The Suburban is a nice vehicle, and it would be a good choice. But I must say that the Toyota Sequoia, to my eye anyway, is the most attractive of the segment. More rounded, less boxy, and more aggressive looking without appearing brutish. And, of course, the Sequoia is a Toyota, and it carries with it the well-earned reputation for quality and longevity.

I was surprised to learn that the 2020 Sequoia is only the 2nd generation of this vehicle, introduced 19 model years ago. I would have thought there would be more major modifications in that time. One of my car people (members of the review community) mentioned that the Sequoia now feels rather dated, suggesting that it is in need of a new generation. I disagree. Yeah, you can tell while driving it that the Sequoia hasn’t got most of the mostly cosmetic, whiz-bang trims and treatments you see in many other vehicles, but I’m old school and I appreciate the straight-forward approach. Besides, it’s not like this Sequoia is without the modern stuff: all of the modern safety and entertainment technology is here – all the media and radio options, hands-free phone, apps, and Toyota Safety Sense with pre-collision systems, lane departure, dynamic radar cruise control, blind spot monitoring. What’s lacking is overly complicated access to all of this technology, which suits me fine.

2020 Toyota Sequoia Int

Now, it’s not like this vehicle is a sports car, so the handling isn’t what you would call nimble. But it is easy and smooth. In fact, the only problem I had with the handling all week long was that it’s difficult to park in some of the places that pass for parking spaces these days. I loved driving the Sequoia – it’s very quiet, it rides smooth and I only ran over a couple of curbs on corners where I failed to take a wider turn.

What made it a great drive was the 5.7-liter V8 engine, featuring some 381 horsepower, coupled with a 6-speed automatic transmission. This is one of those powerplants and vehicles that feels like it is going 40 mph when in fact you’re doing 75. Lots of power, lots of room, plenty of respect from the other drivers, being behind the wheel of a Sequoia is just a pleasure.

Of course, one of the more practical reasons to have a vehicle of this size is towing, and this Sequoia will tow up to 7,400 pounds, so you can bring a trailer, a boat or whatever you want and not worry about it. There is a Tow/Haul mode that alters the transmission shifting points while towing, so Toyota has thought of everything.

The only thing I didn’t like about this vehicle was that it was very difficult to stop the power window half-way down or up. On my personal Jeep, I can crack the window at any opening very easy, but on the Sequoia it takes some special touch and patience to do this.

But there are great things, little touches here that I love. Chief among them is the power window in the rear tailgate – opening it while driving is easy, doesn’t make the wind blow all over the place, but greatly enhances the fresh air flow in the car. I love this. The other plusses are the three rows for passengers (8), huge storage cubbies and very large mirrors (that fold in when locked) that offer maximum vision.

This test drive model I drove was the TRD Pro package, so it had some upgrades: TRD-tuned FOX shocks to handle any terrain, TRD alloy wheels, Rigid Industries fog lights, TRD skid plate and black-trimmed leather seats with red contrasting stitching. There was also an optional $1,050 for the TRD Performance Exhaust System. In addition, they tacked on $245 for a cargo cover and $379 for carpeted floor mats and door sill protectors. At just over $64,000 at the base price, and these few options added on (plus $1,325 in destination charges), the bottom line on the sticker was $67,029.

Based on the competition, I found that price competitive and, based on the type of vehicle and all that’s here, I found that price reasonable. I probably wouldn’t want to just commute around town by myself in this vehicle all the time, but I would love to have a Sequoia.

The Toyota Sequoia is so versatile, so safe, so comfortable; it’s a specialty vehicle, to be sure, but also a special one.

RATING: 4 WHEELS (OUT OF FOUR)

The 2020 Toyota RAV4 Hybrid is a hot seller for a good reason

2020 Toyota RAV4 Hybrid XSE AWD

I don’t suppose I am any different than any other regular person in this pandemic – except, of course, those brave essential health care workers and others working in supermarkets and delivering mail; they’re special – but as an automobile reviewer I actually have to drive the car.

And drive I did. During this time, I was lucky to have the 2020 Toyota RAV4 Hybrid. I simply wanted to drive, so I made up places to drive to. I drove around. I imagined it was the real world and that there was no traffic and I had the open road to myself. Actually, that last bit wasn’t my imagination; being in the RAV4 Hybrid without the cumbersome annoyance of traffic was an added bonus.

To say that I liked the RAV4 Hybrid would be a gross understatement. I loved it. I very much wanted one for my own.

RAV4 stands for “Recreational Activity Vehicle, 4-wheel-drive,” although in truth you can buy a RAV4 with just front-wheel-drive. My test-drive Hybrid model was an all-wheel-drive model but since I had it in the first week of May I didn’t have any need for the feature. I would, however, buy one of these in AWD because I believe it is the safest of features for any vehicle.

I’ve already stated unequivocally that I loved this vehicle, but Toyota here has made what I believe to be the ultimate error in creating its RAV4 lineup: there are way too many trims, 10 in all. The LE, the XLE, the Premium, the Adventure, the TRD Off-Road, the Limited, and then a few hybrids of those trims thrown in for good measure. The gasoline versions, in each trim level, feature the same engine: a 2.5-liter 4 banger with 203 horsepower, while in the Hybrid versions they add in a multi-electric motor assist power output that boosts the horsepower to a combined 219 hp. Since the engine is the same in all of the trims, the only real difference – aside from the Adventure trim that gets more aggressive styling, and the TRD trim that adds in a beefed up suspension and badging – is that each succeeding more-expensive model carries more extras as standards.

It just adds expense. And, presumably, you can just add on the stuff yourself in any model. And besides, what they ought to sell is just this Hybrid, because this is an impressive vehicle.

The first thing that struck me was the size. Since this vehicle debuted in the Toyota North America in1995 as a compact crossover SUV, it has grown through the generations. Now, in its fifth generation, the wheelbase is 105.90 inches, and you could hardly call this vehicle compact. Indeed, its bigger brother, the Toyota Highlander, debuted in the 2001 with a wheelbase of 106.9” and now it’s a whopping 112.2”. So basically, the 2020 RAV4 is the old Highlander.

Toyota Rav4 Hybrid Interior

The next thing that struck me about this RAV4 was how beautiful it is. They call the color of my test-drive model blueprint/midnight blue, and it featured color-to-match wheels, so with the overall great styling and great color this is an impressive vehicle to look at. Then inside, it had black leather upholstery, the seats and leather-like door panels and dash featured blue stitching. I, and anyone else who rode in it, loved it.

Then it was so intuitively designed that everything – and this car had everything – was so easy to operate that a person with no tech skills whatsoever could hop in and drive away with confidence. Plus, I liked the hands-free, put-your-foot-up opening of the rear liftgate that makes storing gear so simple.

I saved the best for last: the driving.  As I mentioned, this hybrid package puts out a combined 219 hp, while getting an estimated 41 mpg city/38 mpg highway/40 mpg combined fuel economy, which is more than impressive. And it achieves this without any lack of power – on the contrary, like many hybrids, this car feels more powerful and is very fast in the city and is quite the powerhouse on the highway and on mountain roads. About the only negative I encountered was that I noticed a little extra road noise on I-70 and I-25 when I was going 65 mph; not a deal killer, but I have been in cars that are more quiet.

Like I said, this vehicle had every safety and modern electronic gadget that people expect these days. And Toyota is really pushing its Toyota Safety Sense 2.0 that features a pre-collision system with pedestrian detection, lane departure alert with steering assist, automatic high beams, dynamic radar cruise control, lane tracing assist and road sign assist. I’m a big fan of safety, and I liked this system here in the RAV4 because it was unobtrusive; it worked but didn’t beep at me all the time.

However, it can use the self-driving  too much at times: the Lane Tracing, for instance, when the dynamic radar cruise control is on, “uses the lines on the road and preceding vehicles to help keep the vehicle centered and in its lane.” In other words, it’ll steer just a little for you. The road sign assist detects road signs – speed limit signs, stop signs, do not enter signs, yield signs, etc. – and displays them in the dash. Both of these features strike me as nanny-ish; I’d rather the driver control the car and see the actual signs rather than the facsimile in the dash.

Having said that, I loved driving the RAV4 Hybrid. It was very easy to drive, with handling as good as it gets in an SUV, had a powerful engine with wonderful gas mileage and was a nice size. What’s not to like? I would own one of these in a heartbeat.

RATING: 4 WHEELS (OUT OF FOUR).