Young drivers often buy used cars. An increase in the legal driving age to twenty-one shifts the demand curve for used cars leftward, whereas lowering the age to fifteen shifts the demand curve rightward.

Question

Quizplus · Accepted Answer

Raising the legal driving age reduces the number of young drivers, decreasing demand for used cars and shifting the demand curve leftward. Conversely, lowering the age increases potential young drivers, boosting demand and shifting the curve rightward.

Young Drivers Often Buy Used Cars