What interest rates rises will do, page-20

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    You are making a lot of assumptions without knowing anything about their personal circumstances.

    Scenario 1: Pay cash, depreciates the moment you drive off the lot, and will keep depreciating for the duration of the ownership

    Scenario 2: Lease the car, and only pay for the use of it. Deploy the capital they would have spent on the car elsewhere.

    And renting gives them increased mobility to pursue job opportunities in other locations, rather than being tied down by their 2br weatherboard shitbox in the western suburbs.
 
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