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Originally Posted by jamesqf
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Most of the larger models you mention were very much hand built toys for the rich - only 7 Bugatti Royales were made (+ one I think in the 1990s), few RRs, Bentleys etc. The model T was a flop in Europe post WW1 as it cost too much under European taxation which was (roughly) based on engine size. Model T was 3+ litres.
In Europe a lot of cars were developed which were < 1 litre in engine size. The Austin 7 is a good example - 747cc, and rated at 7HP which meant a cost of 7 pounds a year to tax. Thats at a time when a uk pound would be close to 20 US dollars in value and an average UK wage would be 1 pound and 11 shillings a week.
Ford realised this and made specific models fore Europe at their plant in Dagenham which was built as a slightly smaller version of the River Rouge plant - same idea though, raw metal in, cars out. For most of the period between WW1 and WW2 the average European consumer car had 4 cylinders, under 1 to 1.5 litres, 3 or 4 gears, 4 seats and would be about 12-14 feet long. At the same time average - as in straight family and not luxury US cars - developed 6 cylinder engines (albeit less sophisticated sidevalve - aka flathead designs) and larger enclosed bodies.
Economes of scale helped too - a market the size of Europe combined with no import and export taxes meant US companies could make a car and sell 2-10 times as many as European makers. We had a slight advantage here in the UK because we also sold tariff free to the empire / commonwealth but that went away after WW2. In 1948 though we made more cars in the UK than the US - scary to think what has happened since - never mind
This has continued into the 1940s, 50s, 60s, 70s and right up until now. Compare a 1950s Ford Consul (UK) to a US Ford - much smaller. A 1950s Vauxhall Victor (GM) to a US GM product - again, much smaller. Remember the 1940s and early 1950s Austins - sold as small cars in the US, discounts at car washes ? Those were full sized cars to UK buyers.
The real difference is size is due to taxation on the cars themselves (as I say - engine size, bore size etc.) and to tax on fuel. In the US fuel isn't taxed very much and for a long time you even made it yourself. Here higher cost and tax has been a factor since before WW2.
Another factor is incomes vs. cost of living - in the 1930s a US worker could expect to own a car and a home, even with renting. An average European worker would not expect to own a car until at least the 1960s or 1970s, even a small one.
After all we had all those wars and empires to pay for
The advantage of that taxation is to insulate us against fuel rises. If Oil doubles in price the US pump price could also nearly double. In the UK it may rise 10-20%. Tough but not AS bad a difference.