With a possible downturn in the economy, I am surprised by the recent surge in certificate of entitlement (COE) prices.
When global and regional conditions are not favourable, it defies economic sense that Singaporeans are still splurging on a spanking new car.
For the COE system to truly reflect the demand for new vehicles, the bidding system should be made easier.
Is there an app where people can bid for their COE? The process of buying a new car from dealers should be simplified too.
I suggest that the potential buyer bid for his own COE and, with that, he can then approach any dealer to purchase a new car ("Put COE bidding in hands of buyers, not dealers" by Mr Richard Chan Yong Huat; Jan 26).
Theoretically, that is the case now, but dealers do not separate the car prices from the COE price, making the actual price of the car without COE non-transparent to the buyer.
If all potential car buyers were to bid for their own COE, then the price of COE can truly reflect market sentiment.
Ng Yong Kheng (Dr)