Kyle Kispert. Chapeter 7. Question 6

The discussion and concepts of "the market lemons" was very intriguing and memorable. As a potential car buyer in the not so distant future, I am now keeping in mind how price and age of a car can determine its value. There are three ways of thinking when deciding what age and price to buy a car at. The first would be buying a new car with a higher cost thinking that it hasn't gone through the abuse that would cause repairs. Secondly, buying a young used car thinking to save money on the initial cost and that it hasn't had time for abuse that would need repair. Lastly, buying an old used car for a low price thinking that the saved money will be used for repairs. In the end there is no way of predicting how short or long a car with run for before needing a repair. There are many factors that play into this, such as how rough you are on the brakes or transmitting. It's an interesting topic that many are pationate about but has no clear answer.