John Humphrey, Senior Vice President & General Manager, Global Automotive Division, J.D. Power & Associates, talked to Lou Ann Hammond, CEO, www.drivingthenation.com before the 2012 Los Angeles auto show.

Some of the statistics were startling, some we knew. Twelve percent of the nation’s automotive sales are in California, making California critical to the United States marketplace.

Humphrey says that by 2020 45 million people will live in California, yet he sees a slow down in automotive sales. Why would that be?

California is still in an economic downturn, Humphrey says there are cities that still need to be shored up. Humphrey is concerned about car dealers making too many sub-prime loans.

Sub-compact cars are on the rise in California. How does Humphrey see that playing out for luxury vehicles?

Many of the Gen-Y and millennials want infotainment and technology in their vehicles. How are they going to do that when incentives are down and prices are staying the same or going up?

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