Yup.
Having had to buy a car on short notice a year ago, I went through this. AND...gave it a LOT of thought, because that's what I do.
Cars are ungodly expensive, as a percentage of disposable income. They were always costly, but they've gone over a line.
CHEAP cars are nearly gone. There is no modern VW Beetle, now. The closest thing is the Mitsubishi Mirage - but the Beetle, in its time, wasn't the cheapest car, either. The Mirage is closer to the Renault Dauphine, if anyone remembers that cheap, sorry disposable cage.
The REASON for this lack of cheap cars is - wait for it - REGULATIONS.
Air bags cost. So does engineering in "crumple zones" and meeting crash standards with regards gas tanks. That ALONE has outlawed handfuls of modern cars - everything from the Jeep XJ models, to the Suzuki Cultus derivatives (Geo Metro and Suzuki Swift, here) BOTH of those cars were light, and the XJs exceedingly strong and long-lived. But, (non-engineer) government ministers have STANDARDS, and all must meet them.
Emissions as well. To meet Obombahgov fantasy standards on emissions and fuel use, automakers need ten-speed automatic transmissions, start-stop programs to kill engines as soon as a car stops. Emissions were conquered 30 years ago - to get a fraction percent cleaner, we went from reliable fuel-injection systems requiring a single chip and sometimes just one injector, to DOZENS of monitors, chips, programs, thousands of miles of paper-thin wires. Durability of all these, is impossible to guarantee and not the makers' concern, anymore. Meeting the fantasy standards, requires it.
The costs add up. This stuff didn't come from God - or from Government. Someone had to CREATE it.
And FIXING all this is EXPENSIVE. More than a car is worth, after a collision. Today, most times, when a car is in a collision, and the air bags pop off...RIGHT THERE the cost of repair is more than the market cost of the car.
So cars are written off. My wrecked truck was quite desirable - and sturdy. After the head-on collision, all the glass was intact, the doors opened and closed. But the airbags fired, and the frame was bent in the rear - I was towing a trailer. So, the truck was written off, and I got a $20k check from the insurance company.
THAT doesn't come from God, either. Insurance isn't a money-printer - it's a risk pool. Greater expense and greater risk; premiums have to reflect it.
So INSURANCE is becoming unaffordable.
The answer here is, twofold.
ROLL BACK REGULATIONS - and allow cars that do not comply to be sold, in the lower-cost markets. Yeah, smear them with Government Warnings - but allow them to be built and owned.
And roll back emissions standards to 2008. The TINY bit of "added" "pollution" will be FAR less than the cost of moar smoking diesel buses for the un-car'd poor people who will have no automobiles; or the toxic fires from battery-buses doing what they do best - burning, often with passengers inside.
We need LESS REGULATIONS and incentives for a new People's Car.