Used car prices have skyrocketed and are accumulating value more quickly than Bitcoin, according to industry insiders.
A global shortage of semiconductor chips and pandemic-fueled declines in automotive use has boosted the value of used cars by thousands of dollars, says Hans Dau, a supply chain analyst and CEO of the Mitchell Madison Group business consulting firm.
“The spike in used car prices might be the only truly transitory piece of the inflation picture in the economy today,” Mr. Dau said. “COVID threw a monkey wrench into chip manufacturers’ planning process, as people stayed home and reduced chip production was allocated to consumer electronics.”
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