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I think this is artificially generated demand. I mean - yes people want bigger cars now but didn't use to. Then shift started happening. It is cheaper to build bigger car with more efficient lawnmower engine (because the bigger the car the more polluting it can be so by putting small engine in big car its easier to meet regulation). Only bigger cars started being offered, more of them appeared on the streets and now more people want bigger cars because it's safer to have the same sized car as most on the road.

yes - automakers abandoned the market. Look at the pre-orders for the new small trucks like the Ford Maverick. Impossible to get!! People actually want small trucks at a <$30K price. Solve it and you will clean up. Finally Ford actually has.

Also bigger and more expensive you can make more margin you get.