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Big Three Automakers Tackle Gas Price Issue

American automakers are fighting a two-front war. On the one side, they have to contend with Japanese automakers whose more fuel-efficient vehicles have been cutting into their sales for years. Now they are doing battle against rising gasoline prices that are causing consumers to think twice about the kind of car they buy, or whether to buy a car at all. The car marketers have yet to solve the Japanese problem, but now they are at least attempting some new tactics to deal with the gasoline issue. The Big Three--Ford, General Motors, and Chrysler--have all launched marketing efforts designed to ease the load for consumers. Ford and GM are both offering incentive programs that decrease the cost of fuel for new car buyers. Ford's program provides $1,000 debit cards for fuel purchases, while GM buyers in select states get caps on gas prices through the end of the year. Chrysler, meanwhile, has launched a new ad campaign that focuses on fuel efficiency. However, one observer was skeptical that the initiatives will lead to increased sales of gas-hungry vehicles. "In terms of value, it's not that dramatic," said Jesse Toprak, industry analyst for car-buying site Edmunds.com.

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