Honda is introducing the first under-$20,000 hybrid, according to the Financial Times.
Honda is trying to drawer buyers away from the Toyota Prius. It hopes to accomplish this with the Insight — a less expensive, but smaller and less efficient car than the Prius.
The Financial Times noted that,
Even at the peak price of more than $4 a gallon, a Prius buyer would have to have driven a heroic 200,000 miles to earn back the price difference with the Insight through better mileage alone.
Buy an SUV.