'Using below bullet point to discuss the effects of SST on the market for cars using conventional microeconomic theory.. • Price of cars increase – quantity demanded decrease• Cars with elastic demand ( low end cars) – price sensitive – quantity demanded decrease• Cars with inelastic demand ( high end/luxury cars) – price insensitive – quantity not much affected• SST for petrol/diesel vehicles – substitute with EV/hybrid cars (green cars)• 2nd car demand increase • Opt for alternative transport – MRT/ LRT/ grabcar/car pooling

Q&A Education