Focus on the main idea and explain how the article is related to the course material. Explain your reaction to the news.

https://econeveryday.com/whats-driving-the-price-of-new-cars/

1. In a state of equilibrium, the supply of cars would meet demand. Today's auto market is anything but balanced. Explain how various factors including supply chain issues, tight labor markets, and rising interest rates are all impacting the market for cars.
2. Given that the Federal Reserve has indicated that further increases in the interest rate may be necessary to curb inflation, should you buy a new car now or wait? Explain.
3. How could economic conditions in the United States affect car prices over the next year? What are the implications of recessionary pressures on new car prices? If the United States avoids a recession, what do you think will happen to car prices?
4. Reflect on the implications of current conditions in the auto market for different consumers. Who, if anyone, benefits from current market conditions? Who is most likely to be negatively impacted?