Comment by eru

> People also choose to get a car loan, again increasing the cost.

Sorry, could you please explain how car loans increase the cost?

> Of course, the COE is in addition to depreciation and maintenance, and those are both also expensive in Singapore. Plus people buy the cars through loans. And, excluding everything I've said above, the cars themselves are very expensive to buy!

In a sense, all these other costs don't really matter: if they increased (or dropped) by a dollar, in equilibrium the winning CoE bid would drop (respectively increase) by a dollar.