An additional di erence between the supply of new cars and the supply of used cars is that there is arguably market power in the supply of new cars (manufacturers have an ability to set prices for new cars), where there is arguably not in the supply of used cars. This is particularly the case because of the large volume of used cars traded weekly at auction throughout the country. Auctions are a major clearinghouse for wholesale used cars and are ubiquitously available throughout the country. (For example, Manheim, which is the largest operator of used car auctions in the ., has about 100 sites throughout the.
