Kids today won’t remember the Toyota Crown, but then neither will today’s geezers. Now forgotten as a U.S.-market Toyota, it was the Crown’s sad fate to have been the car replaced by the first stateside Corolla.

The Crown hit the dusty trail in 1968. When its replacement came Coroll-ing along, it was hard to see how a subcompact with a name like an after-dinner cigar was going to do better than its regally ensconced forebear. However, by the time 1970 arrived, Toyota had upgraded the Corolla’s 1.1-liter engine to a “much larger” 1.2-liter version and found that its littlest model had become America’s biggest-selling import.

Eight model generations have passed and the Corolla is still with us. Its standard 1.8-liter engine now generates 130-horsepower to propel a subcompact that resembles nothing so much as a scaled down Lexus. More important, the Corolla offers value in the way of its reliability, safety features, and mileage. That must have something to do with the fact that – despite efforts made even within Toyota to bring out smaller subcompacts, more economical hybrids, and edgy, youth-market-oriented, entry-level runabouts – the Corolla is the one of the world’s largest-selling cars.

Had Toyota not dropped it from production, imagine what the Crown might have become by now. Would fan-shaped destiny keep it from starting at $13,500 and going up against Ford’s Focus, Honda’s Civic, and VW’s Jetta just as the Corolla now does? Would the Crown subcompact boast of the Corolla’s base CE, Sporty S, and high-trim LE models? Would it similarly have front-wheel drive and room for four adults – or five in a squeeze? Would these distinctions even exist in a Crown-obsessed world so alien to our own? No one can say. In today’s reality, all is Corolla – and Corolla means a car with a four-cylinder engine that Toyota teams with either a four-speed manual or an optional five speed automatic transmission. Side airbags are available among its options, and a CD player is included among its standard equipment.

Corolla also means reliability, smooth operation, and fun-to-drive performance not often matched in so economical a car. Or at least it does when you’re in possession of the new-for-2005 XRS model as we were.

Carrying a base sticker price of $17,500, the XRS’s version of the 1.8-liter power plant is tuned to generate 170 horsepower at 6,000 rpm. The en gine works with a solid-feeling six-speed manual and is bolted in above a sport tuned suspension that includes a sport strut tower brace mounted between the XRS’s shock towers to improve ride and handling while it reduces vibration. The suspension stands on larger 16-inch aluminum alloy wheels and performance tires, an upgrade from the standard 15 inch wheels on all other trim levels. While anti-lock brakes are optional on the other models, as is an anti-skid system for the S and LE, all come standard on the XRS.

Inside, Toyota thought out the XRS well enough for it to be laudably unremarkable. Dashboard design is smart, albeit not radically so, and includes large, readable gauges and logical switchgear. The adjustable, leather-bound steering wheel aids in the refinement of the driver’s seating position – a factor often underrated for its role in the perception of driving performance. The front seats, while comfortable, could benefit from more lumbar support, while those in the rear were constricted once you moved the front seats more than halfway back. Overall, the Corolla’s interior refinement, while good, falls short of the VW Jetta’s, which sets the standard for this class.

Over hill, over dale, driving the Corolla XRS was a revelation. The six-speed’s reverse slot has been channeled a bit close to that of first gear, so until you get used to it, you might find yourself (as we did) invariably shifting out of reverse into third and promptly stalling out. After you address that situation however, the tranny clunks out its numbers sure and strong – second, third, fourth – and sets you up for a near-perfect ride.

The test Corolla produced an inordinate amount of wind and tire noise, and Toyota could have weighted its steering more heavily. However, there was nothing wrong with the steering’s quickness, which harmoniously matched the acceleration of the 1.8-liter four. Moreover, despite moderate body roll, no matter how hard we pushed the XRS through back-road curves, its 16-inch Michelins always stayed planted. Once combined with the good performance of XRS’s sport-tuned suspension and powered front and rear disc brakes, these factors made for a car we could toss over winding back-roads with outlaw glee.

It doesn’t quite take the crown from the Subaru WRX or Mazda 3, but in the subcompact class the new XRS is a car that shows that you can go whack fast without going stone broke.