Gas prices continue to soar, yet all hope is not lost. There's a car out from Japan, small on the outside and big on the inside, that can edge its way through city traffic while being quite frugal on fuel. The 2008 Honda Fit lives up to the automaker's reputation for producing fuel-efficient cars. As a bonus, buyers get SUV-like cargo versatility -- seriously!

Well put together, the Honda Fit LX stands out from the competition.

A do-it-all subcompact
Well put together, the Honda Fit LX stands out from the competition by adding a touch of class, like the multi-reflector headlights with body-colored bezels. It might not win any styling contest, but the Fit sure is aptly named, offering ingenious seating and cargo configurations. I found no less than eight different ways to arrange the backseat. The full-length flat passenger floor and rear "Magic Seat" with flip-up cushions and 60/40 flat-folding seatbacks allow amazing cargo flexibility.

At one time, I needed to load a big water container (18.9 liters): in a flash, I lifted the right cushion and laid the container underneath. Perfect fit. Two adults could still sit in the back, while I carried the rest of my gear in the trunk. I started thinking: maybe I could help my friends move after all. Honda claims that the Fit's cargo capacity increases from 603 to 1,186 liters. What is truly impressive, in my mind, is the number of possibilities to get that volume.

Everything you need
In front of the driver is a well-designed dashboard with a fairly comprehensive instrument panel and controls that are ergonomically positioned for the most part. I particularly liked the digital speedometer. All-around visibility is good, which helps the driver. However, a telescopic steering wheel would have been appreciated, not to mention more supportive front buckets.

In front of the driver is a well-designed dashboard with a fairly comprehensive instrument panel.

Material selection and layout as well as fit and finish are commendable. The quality and operation of the windshield wipers are surprisingly good for such an entry-level car. Front-row storage is decent, particularly with the door-mounted bins. The Fit LX also includes a 12-volt power outlet up front and a MP3-capable stereo delivering good sound quality under 4,000 rpm. Oddly enough, though, remote entry is a $239 option. Why not make it standard, especially with the nicely-equipped LX model?
 

Front-row storage is decent, particularly with the door-mounted bins.

Climate control, a must
Buyers should really opt for this trim level, which comes standard with climate control. The base ventilating system is not enough to purify the air and cool the interior, so you have to keep the windows down on warm days. With the air conditioning unit, however, you don't even have to put the fan at full speed.

Outstanding thriftiness
How can that engine burn so little fuel? After all, the Honda Fit is powered by a 1.5L four-banger, not a 1.2L or smaller engine. Yet, the 109-hp mill is remarkably thrifty; under my watch, it averaged a fuel consumption of 5.25 L/100 km. Outstanding. What's more, the engine teams up with a 5-speed manual transmission to deliver more than decent performances. That's the genius of Honda at work.

Smooth at low RPMs, the Fit loves to rev; it won't be shy if you're in a hurry and hammer the throttle, easily reaching 6,000 RPM. Honda engineers are fond of variable valve timing and their VTEC system really gets the most out of the engine. The Fit LX sprints from 0 to 100 km/h in about 11 seconds and from 80 to 120 km/h in less than 8 seconds, which is the maximum for safe passing maneuvers. A lot of 3.0-liter engines struggle to even get those results.

Meanwhile, the brakes are among the best in the category: Honda was wise to include ABS as standard equipment, not to mention electronic brakeforce distribution (EBD). As a result, I was able to stop from 100 to 0 km/h over less than 41 meters. That's what I call a balanced performance.

The Honda Fit is powered by a 1.5L four-banger.

Driving dynamics
While the engine loves to rev, the transmission prefers smooth action. Under hard acceleration, you clearly hear the gears clicking when shifting. That being said, shifts are generally performed with precision. Be careful to pull the stick all the way to the left when you take off; I personally had a tendency to start in third gear.

The Fit is great in city traffic and parking lots. The power steering allows you to precisely align the wheels in the desired direction. On the flip side, the turning radius fails to impress at 10.5 meters -- forget quick U-turns.

The 2008 Honda Fit fascinates by its versatility, efficient performance and frugal operation.

The Honda Fit LX is comfortable and at ease on the highway. Though stable, it's better to keep both hands on the steering wheel when crosswinds are strong: the overall shape of the car offers a natural resistance to these blasts. On winding roads, body roll is noticeable but you shouldn't worry about it as the Fit proves reassuringly predictable.

Highly recommended
Despite little shortcomings (all easy to address), the 2008 Honda Fit fascinates by its versatility, efficient performance and frugal operation. And if you buy one before December of 2008, you'll get a well-deserved $1,000 rebate from the federal government on top of all that.