Who is the economic guru here? Luckily didnt buy car last month,
coe is 10k cheaper now, waiting for another 10k drop in
coe price to 50k before placing a order. Huat ah
Quote:
Originally Posted by Unregistered
If you understand economics, price is determined by BOTH demand and supply. Supply of COE increase by x% but demand increase by 3x%, then prices will rise.
Demand for COE will be higher than supply due to:
1. Demand from current car owners replacing their old car to new car.
2. Demand from wealthier families due to higher income and wealth.
3. Boom in property market which allows families to flip and make money.
4. Increase in population.
5. Demand by families buying their 2nd, 3rd and 4th cars due to more working adults in the family unit.
6. Youngsters paid higher salaries.
7. Fall in petrol prices. Those who have been taking taxis now switching to cars.
8. Taxi fares are not cheap and difficult to get taxis during peak periods.
9. People buying to show off.
10. Many more reasons. |