Ever since hybrids became popular, with the second generation of the Toyota Prius, the question arose of whether the fuel savings justified a hybrid car's higher price. The extra expense for a hybrid car has been called the hybrid premium.
The extra cost for a hybrid car comes from the additional equipment in the driveline. Along with the gas engine, hybrid cars have an electric propulsion motor, a high-voltage battery pack, and a power control module, this latter component determining how to feed electric power into the drive system.
Now, with many automakers offering some type of hybrid car, … Read more