In today's video we analyze why the car market has undergone such a drastic increase in prices over the last 20 years, making the purchase of new vehicles increasingly difficult for Italian families. The automotive industry is going through a phase of profound transformation, with prices pushing many consumers towards used cars as a more affordable alternative. But what are the reasons behind these increases? -------------------------------------- ???? Do you want to understand more about economics and current affairs? Subscribe to our newsletter (100% FREE): https://ilpunto.beehiiv.com/subscribe -------------------------------------- OUR CHANNELS: Instagram: / ilpuntoeconomico LinkedIn: / ilpuntoeconomico TikTok: / ilpuntoeconomico0 -------------------------------------- And if you want to understand more about AI and technology, follow our techy page: / techy_ita ???????? Are you a brand and want to collaborate? Click here: https://tally.so/r/3EqEX4 -------------------------------------- 00:00 Intro 00:55 How much have car prices increased in 20 years? 04:03 Why have prices increased so much? 06:34 The 2020 crisis and the lack of microchips 08:07 The 2022 crisis and the explosion of raw materials 09:41 Cars cost more and so people... buy used! 10:43 Cars cost more and so people... rent them! 11:28 Outro -------------------------------------- KEY TAKEAWAYS: 1. New car prices have virtually doubled in the last 20 years: the average price of the 10 best-selling cars has gone from €10,590 in 2003 to €21,040 in 2023. A concrete example is the Volkswagen Golf, whose price has increased by 90% in 20 years (from €16,000 in 2004 to €30,200 in 2024). 2. Wages have not kept pace with rising prices: while average net household incomes have grown by only 21.9% (from €2,243 to €2,734 per month), today it takes almost 8 household wages to buy a new car, compared to 4.7 20 years ago. 3. The main causes of the price increase are: New safety regulations and ADAS systems European environmental regulations and investments in electric Microchip crisis of 2020 War in Ukraine and the resulting energy crisis Rising costs of raw materials (steel +73%, copper +225%) 4. Consumers are changing their purchasing habits: Greater propensity to buy used cars (in 2023, for every new car sold, 1.8 used cars were sold) Increased use of leasing and long-term rental Tendency to keep the existing car for longer