The article ‘Why aren’t Young Peoples Buying Cars’ is about how the lives of young people are changing making them not to buy cars (International Making Cities Livable, 2012). In the past, when young people completed their studies, they were moving into large cities in search of employment opportunities. After attaining jobs, they were buying cars to help them in performing their duties as they move around the cities. However, according to the article, young people are not buying cars either in the large cities or small cities (International Making Cities Livable, 2012). Car manufacturers are finding it difficult to sell new cars that appeal to the youth because they are not purchasing them. Moreover, car manufacturing companies like BMW has tried selling motorcycles to attract the youth without success (International Making Cities Livable, 2012). According to the article, the young people are finding it convenient to perform their duties without cars. In a small town, they can walk from one corner to the other at ease. In the big cities, they can use public means to move around the city (International Making Cities Livable, 2012).
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In this case, the use ofmicroeconomicsis makingiteasy to analyze how the behavior of the youth is affecting the supply of cars. Presently, due to the financial crisis, life is becoming expensive. For this reason, the young people can not be able to maintain a car. As a result, they are failing to purchase cars. This is resulting manufacturing industries to have a lot of produced cars in the factory (International Making Cities Livable, 2012). This means that the demand for cars is gradually going down. On the other hand, the supply of cars is on the rise. In this case, demand is going down because the youths are not purchasing cars while the supply is going up because manufacturing companies are still continuing to produce cars (International Making Cities Livable, 2012). If this continues, the prices of cars are going to decrease due to the current forces of demand and supply.
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