It takes something thats new to make thing a bit older and superior to seem better

[cleverdicky]

Following this logic through, the result would be to ask why spend 36k on a used e350cdi when you can buy a w124/w126/w140 which are, in many respects better, for under 2k and then travel/put a deposit on a house/do whatever with the rest?

I think the problem is is that people have a "top down" view of buying things rather than a "bottom up". Want a new computer/car/phone/anything, look at the most expensive one, think "damn i can't afford that...but maybe if i scrimp/save/get into debt i can get the 3rd most expensive one...i think i deserve it, i work hard, you only live once". The trouble is (ignoring the debt, financial burden and stress it puts on people) is deep down you really want the most expensive one so are still unhappy, and still slaving away trying to upgrade.

A better approach is "i work hard and have earned my money so i'm not going to let anyone have it for nothing". So start with a £1k car, oh it's rubbish, i need to spend £2k...oh this isn't great, but £2.5k gets me something i want, i'll buy that one...then you're happy and feel you treated yourself over the £1k heap you could of had!

Still, the more people adopt the first attitude the more they'll subsidise the bargains for the rest of us!

I understand your sentiments but I think thats rather a naive view.

Maybe people want to buy a good solid reliable car but might just a little afraid that after many years those older models have already given their best already. And just hope or expect a new version to give them the same number of years of quality and reliability and not have to worry about finding obsolete parts or anyone that still knows how to repair them.