Public costs - car issue
The external costs of automobiles, as similarly other economic externalities, are the measurable costs for other parties except the car proprietor, such costs not being taken into account when the proprietor opts to drive their car. According to the Harvard University,11 the main externalities of driving are local and global pollution, oil dependence, traffic congestion and traffic accidents; while according to a meta-study conducted by the Delft University12 these externalities are congestion and scarcity costs, accident costs, air pollution costs, noise costs, climate change costs, costs for nature and landscape, costs for water pollution, costs for soil pollution and costs of energy dependency. The existence of the car allows on-demand travel, given, that the necessary infrastructure is in place. This infrastructure represents a monetary cost, but also cost in terms of common assets that are difficult to represent monetarily, such as land use and air pollution.
Mass production of cars
The large-scale, production-line manufacturing of affordable cars was debuted by Ransom Olds in 1901 at his Oldsmobile factory located in Lansing, Michigan and based upon stationary assembly line techniques pioneered by Marc Isambard Brunel at the Portsmouth Block Mills, England, in 1802. The assembly line style of mass production and interchangeable parts had been pioneered in the U.S. by Thomas Blanchard in 1821, at the Springfield Armory in Springfield, Massachusetts.33 This concept was greatly expanded by Henry Ford, beginning in 1913 with the world's first moving assembly line for cars at the Highland Park Ford Plant.
As a result, Ford's cars came off the line in fifteen-minute intervals, much faster than previous methods, increasing productivity eightfold, while using less manpower (from 12.5-man-hours to 1 hour 33 minutes).34 It was so successful, paint became a bottleneck. Only Japan Black would dry fast enough, forcing the company to drop the variety of colors available before 1913, until fast-drying Duco lacquer was developed in 1926. This is the source of Ford's apocryphal remark, "any color as long as it's black".34 In 1914, an assembly line worker could buy a Model T with four months' pay.34
Ford's complex safety procedures?especially assigning each worker to a specific location instead of allowing them to roam about?dramatically reduced the rate of injury. The combination of high wages and high efficiency is called "Fordism," and was copied by most major industries. The efficiency gains from the assembly line also coincided with the economic rise of the United States. The assembly line forced workers to work at a certain pace with very repetitive motions which led to more output per worker while other countries were using less productive methods.
Why insurance is dependent on the age of the drivers?
With police statistics and scientific studies it shows that young people are the most common cause accidents on the roads. Too high speed, the desire to impress colleagues or colleagues and little experience in managing vehicle are the main causes of dangerous incidents on the road. It is not surprising that insurers often make the amount of insurance premiums was the age of the holder of the vehicle and the number of road events with his participation. Young people, often breaching the rules of the road are in fact for insurers customers not profitable and that is why they use this kind of preventive measures, such as increasing fees for insurance with every accident.