Cost versus Value

Cost is what you put into something.
Value is what you get out of something.

The strange whining and grrring sound from the back of the Mighty Green Ranger was identified as a differential going bad. For those not familiar with car parts it is a very expensive sound to have. It is the piece of equipment that converts motion from the engine/transmission to the wheel that power your car. Hey, 152,000 miles isn't so bad. The diff did well, but it wouldn't make sense replace the diff. The repair cost isn't much less than the BlueBook value of the Mighty Green Ranger.

To all the lawdogs, that is the Kelly's BlueBook of automotive values, NOT the BlueBook of legal citations. I don't want you to confuse the two.

As MBA students will testify, it makes economic sense to simply get a new vehicle if the repair is nearly what the vehicle is worth. The cost is too much to justify. But what of value? The MGR is my only means of transportation. Indianapolis' public transit system, IndyGo, doesn't! I mapped out taking the bus one time just in case I had to. After walking 1/2 mile to get to the nearest bus stop, the ride would take nearly 90 minutes to get downtown. Not a viable option in the grand scheme of things.

As I have no income...still...I can't replace the MGR either. The cost of the repair would not get me a vehicle of equal value. At least with the MGR I know exactly what it has been through and that it is basically a reliable vehicle. All the parts that have been replaced over the past few years were parts that wear out and need to be replaced. As that no income problem still exists I can't obtain a vehicle with a higher cost either. With used cars $3,000 seems to be that bright line between eh, this will do okay for a few years and wow I'm really taking a chance with these four wheels.

The value, to me at least, of the MGR is nearly irreplaceable at this time so I'll pay the cost. The part will take a week to get in. The mechanics assure me that the differential has a few weeks left in it before it seizes up. I'm going to hold Bacon to that. So much for trying to get the credit card bill down by fall semester.

On the other hand at around 52 m.p.h. the whine sounds a lot like Airwolf :)