Remember last summer when used hybrids and econo-cars were scalping the used market? Selling for twice blue book and such? Those days are gone. Used hybrid prices have tanked 23.5% since last summer.

The fall from grace on used hybrids isn't all that surprising. Consider at their price peak last summer, fuel was hovering around $4.50 a gallon, the eco-geeks had infiltrated every corner of the infosphere, and Toyota couldn't even make enough new Prii to keep up with demand. Now we're sitting on a market of $2 gas, disintegrating consumer confidence, and a market flush with (used and new) cars making 30 MPG without the price premium commanded by a hybrid. Could it possibly be the forces of supply and demand, and the wisdom of the markets actually works? Say it ain't so, every grandstanding government official who chastised the big two-and-a-half for not building more hybrids! [The USA Today]