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On my moms '92 Taurus LX wagon 3.8L the speedometer will seem to get stuck, when getting on the freeway it will usually read about 45-60MPH when your PASSING people doing that are doing 65, then the needle will jump to the right speed but when you slow down sometimes to a stop it will still read 45-70MPH and then will drop like a rock to the speed your at, we dont use the cruise control for fear of a unintended acceleration. Is this an easy thing to fix or will it be hard on the wallet?
You have three main parts that could be bad; the speedo head, the speedo cable, and the speed sensor. I've never worked on the Taurus 3.8, but on the 3.0 getting to the tranny where the sensor/cable hook up can be a bear.
The cable and sensor aren't that bad, price wise. The head can cost in the hundreds, (I was quoted $450 once at the dealership). I could buy a parts car for that kind of money.
What you descibe doesn't sound like a sensor problem unfortunately. You might try lubing the cable and hope for the best. Seems to me I saw a TSB on that.