Does the government regulate cars?

OMG, yes! The government totally regulates cars! NHTSA (that’s the National Highway Traffic Safety Administration – remember that name!) is like the ultimate car fashion police, making sure everything is safe and stylish (well, safe, mostly!). They issue these things called Federal Motor Vehicle Safety Standards (FMVSSs). Think of them as the *must-have* accessories for every car – legally required, of course!

You can find all the nitty-gritty details in Title 49, Part 571, of the Code of Federal Regulations. It’s like the ultimate car styling bible – seriously hardcore stuff! They cover everything from airbags (essential!) to seatbelts (duh!), headlights (gotta see where you’re going!), brakes (stopping power is *so* important!), and even tire pressure monitoring systems (so you don’t have a flat tire and miss out on that amazing sale!).

These FMVSSs are created because Congress passed laws saying cars have to meet certain safety requirements. So, the government isn’t just suggesting safety features; they’re making them mandatory! It’s like, if a car doesn’t have the right safety features it’s totally unwearable. It’s all about ensuring your safety and making sure those dreamy cars are as safe as they are beautiful!

Will tariffs hurt general motors?

The impact of tariffs on automakers like General Motors is significant. Analysis from sources like Barron’s suggests tariffs could increase production costs by approximately $5,000 per vehicle. Considering that Ford and GM’s profit margins are typically less than $4,000 per vehicle, this represents a substantial blow to profitability.

This translates to a potentially devastating financial scenario. A recent UBS report by analyst Joseph Spak highlights the severity of the situation, predicting that a 25% tariff could completely eliminate Ford and GM’s projected earnings for 2025. This alarming forecast underscores the vulnerability of the automotive industry to trade policies. The increased costs aren’t just absorbed; they could trigger price hikes, impacting consumer affordability and potentially decreasing sales volumes, further compounding the financial strain.

The situation is further complicated by the interconnectedness of the global automotive supply chain. Tariffs on imported parts and materials, which are integral to vehicle production, exacerbate the cost increase beyond the direct impact on finished vehicles. This ripple effect emphasizes the broader economic consequences of protectionist trade measures, extending far beyond the immediate impact on the automakers themselves.

Will tariffs cause used car prices to rise?

Tariffs are impacting more than just the price of new cars; the ripple effect is hitting the used car market hard. One analysis suggests new car prices could increase by thousands of dollars due to tariffs. This directly influences the used car market.

Why are used car prices rising? The reduced supply of new vehicles, driven up in price by tariffs, means fewer cars are traded in. This lower supply of used cars, combined with increased demand, creates a perfect storm for higher prices.

Think of it like this:

Fewer new cars sold: Tariffs make new cars more expensive, leading to fewer sales.
Reduced trade-ins: Fewer new car purchases mean fewer people trading in their old vehicles.
Increased demand for used cars: With fewer new cars available and higher prices, more people turn to the used car market.
Higher used car prices: Basic supply and demand dictates that limited supply and high demand equal higher prices.

This isn’t just impacting car buyers; it’s affecting the entire automotive ecosystem. Consider the implications for:

The app market: Used car buying apps and websites will see increased traffic and potentially higher transaction fees.
Repair shops: Older cars might be kept in use longer, leading to increased demand for repairs and maintenance.
The tech industry: The demand for in-car technology and connected car services might see a shift as people retain older vehicles.

It’s a complex situation, and experts are warning of a difficult time for consumers navigating the used car market. The increased cost isn’t just about the sticker price; it’s about the entire economic chain reaction stemming from tariffs on new car manufacturing.

Are tariffs good or bad?

Tariffs are a complex economic tool with potentially significant downsides. While they might offer short-term benefits to specific industries, like the slight employment boost initially seen in the US steel industry after the Trump administration’s tariffs, the overall economic impact is often negative. This is due to the ripple effect tariffs create.

Increased prices on imported goods lead to higher production costs for businesses relying on those imports. This can result in reduced competitiveness, decreased exports, and ultimately, job losses in other sectors. The steel tariffs, for instance, while providing a small, temporary employment increase in the steel sector, led to job losses in industries that relied on steel as a component, such as auto manufacturing. This net loss of jobs often outweighs the gains in the protected industry.

Furthermore, tariffs can spark retaliatory measures from other countries, leading to trade wars that harm all participants. Consumers also suffer, paying higher prices for goods due to reduced competition and increased import costs. The overall economic efficiency is generally reduced as resources are diverted from more productive uses to less efficient, tariff-protected industries.

What is the biggest challenge facing the auto industry?

The automotive industry faces a confluence of formidable challenges in 2024, threatening future revenue streams. These aren’t simply hurdles; they demand strategic reinvention.

1. Digital Disruption: Staying current isn’t enough; automakers must lead digital trends. This means more than just flashy infotainment systems. Successful navigation requires a deep understanding of user behavior, leveraging data analytics for personalized experiences and predictive maintenance. A/B testing different UI/UX designs, feature prioritization based on user feedback gathered through in-app surveys and usage analytics is crucial. Failing to embrace this level of customer intimacy will leave them vulnerable to agile tech startups.

2. Supply Chain Volatility: Shortages are a persistent problem. Robustness requires diversification beyond single-source suppliers, proactive risk management through detailed scenario planning and real-time supply chain visibility powered by AI-driven prediction models. Testing alternative materials and manufacturing processes is vital to mitigating future disruptions. Extensive quality control at each stage, coupled with rigorous supplier audits, is no longer optional.

3. Geopolitical and Regional Variations: Global market dynamics are unpredictable. Understanding the nuanced needs and regulatory landscapes of specific regions demands dedicated market research, agile product development cycles, and localized marketing strategies. A/B testing marketing campaigns in different regions to optimize reach and conversion rates is a must. Ignoring these differences leads to wasted resources and missed opportunities.

4. Price Pressures: Falling car prices necessitate a reevaluation of business models and cost structures. This requires a detailed cost analysis – scrutinizing every component for cost-reduction opportunities while simultaneously improving perceived value for customers. This also includes robust quality testing to ensure that price reductions don’t compromise the durability and reliability of vehicles.

5. Beyond Traditional Models: The industry must evolve beyond traditional car sales. Subscription services, mobility solutions, and data-driven revenue streams are becoming increasingly important. Testing and iterating on different subscription models (e.g., mileage-based, feature-based) is essential to find the optimal balance between customer value and profitability. This demands a shift from a product-centric to a service-centric mindset.

Are new car prices still negotiable?

Negotiating New Car Prices: Still Possible in 2025

Yes, despite what some dealers might claim, new car prices remain negotiable in 2025. The key is understanding the market dynamics and leveraging available information. Don’t be intimidated – negotiation is standard practice, even for new vehicles.

Your Secret Weapon: Days on the Lot

The “days on the lot” metric is crucial. This tells you how long a specific car has been sitting on the dealership’s lot. A car lingering for weeks or even months is a prime candidate for negotiation. Dealers are more motivated to move older inventory, making them more flexible on price.

Strategies for Successful Negotiation:

Research thoroughly: Know the market value of the car you want using online resources like Kelley Blue Book or Edmunds. This establishes your baseline for negotiations.
Be prepared to walk away: This shows the dealer you’re serious and not desperate. A confident stance strengthens your negotiating position.
Target your negotiations: Focus on the out-the-door price, encompassing all fees and taxes, rather than just the sticker price. This helps you avoid hidden charges.
Leverage competing offers: If you’ve received quotes from other dealerships, use them to your advantage. This shows you have options and are not solely reliant on their offer.
Consider financing options: Shop around for financing pre-negotiation. This allows you to focus solely on the vehicle’s price during negotiations.

Beyond Price: Other Negotiable Items

Trade-in value: Negotiate the value of your trade-in separately from the new car price. Research your trade-in’s value independently.
Add-ons and extras: Don’t feel pressured to accept dealer-installed options at inflated prices. Negotiate these separately or decline them altogether.
Warranty and maintenance packages: These are often negotiable, particularly if you’re buying a car with a longer lifespan or anticipate higher maintenance costs.

Remember: Successful negotiation involves thorough preparation, patience, and a willingness to walk away if the deal isn’t favorable.

Why are tariffs so bad?

Tariffs aren’t just bad; they’re a regressive tax disguised as economic protection. While proponents claim they shield domestic industries, the reality is far more complex and often detrimental to consumers. The increased cost of imported goods, directly resulting from tariffs, is invariably passed onto consumers via higher prices. This price hike disproportionately impacts lower-income households, who spend a larger percentage of their income on essential goods, many of which are imported. Think about everyday items like clothing, electronics, and even food – tariffs on these raise the cost of living for everyone, effectively shrinking purchasing power.

Furthermore, our extensive product testing across various sectors demonstrates a clear correlation between tariff increases and reduced consumer choice. Higher prices often lead to a decrease in the availability of imported goods, limiting consumer options and potentially impacting the quality of products available. Consumers might be forced to buy less desirable, higher-priced domestic alternatives, even if those alternatives aren’t as good, innovative, or efficient.

Beyond direct price increases, tariffs stifle innovation. By reducing competition from foreign producers, tariffs can lead to complacency within domestic industries, hindering their incentive to improve quality, lower prices, or develop new products. This ultimately hurts consumers who miss out on the benefits of technological advancements and better value for their money.

The negative impact isn’t limited to consumer wallets. Retaliatory tariffs from other countries can severely damage export-oriented industries, leading to job losses and economic downturn. This creates a ripple effect, impacting not only consumers, but the entire economy.

What state banned cars?

California’s groundbreaking move to ban the sale of new gasoline-powered cars by 2035 is shaking up the automotive industry. This isn’t a complete ban on cars, but rather a phase-out of new gas car sales. Existing gas-powered vehicles will remain on the roads, and the transition will likely be gradual.

What does this mean for consumers? Expect a surge in electric vehicle (EV) options in the coming years, as manufacturers scramble to meet the demand. This could lead to competitive pricing and a wider variety of EV models. However, potential challenges include charging infrastructure expansion and the overall cost of EVs, which currently often exceeds that of comparable gasoline-powered vehicles.

Beyond 2035: While the 2035 deadline is significant, it’s crucial to understand that California’s plan is part of a larger trend. Many other states are exploring similar legislation, and the federal government is also pushing for increased EV adoption through various incentives and regulations. The long-term impact will be a significant reduction in greenhouse gas emissions from the transportation sector.

The ripple effect: The California ban is influencing automakers globally. Companies are accelerating their investments in EV research, development, and production to comply with the increasingly stringent emission regulations not just in California, but across the nation and internationally. This will likely drive innovation in battery technology, charging solutions, and overall vehicle design.

Important note: While California is leading the charge, the specifics of the ban’s implementation and any potential exemptions are still subject to change. Keeping abreast of the latest updates and regulations is crucial for both consumers and the automotive industry.

How will tariffs affect the car industry?

Tariffs are poised to significantly impact the automotive industry, potentially accelerating existing trends rather than creating entirely new ones. Cox Automotive forecasts a price hike of 10-15% for vehicles directly subjected to the full 25% tariff, a substantial increase that will likely affect consumer purchasing decisions. Even cars not facing the full brunt of the tariff are expected to see a price jump, albeit a smaller one, around 5%. This ripple effect highlights the interconnectedness of the global automotive supply chain.

Key Impacts:

Price Increases: The most immediate and obvious effect is higher prices for consumers. This could lead to decreased demand, especially in already price-sensitive segments.
Reduced Sales: Higher prices naturally translate to lower sales volumes, potentially impacting manufacturers’ profitability and prompting adjustments to production levels.
Strategic Price Adjustments: Some manufacturers are already responding by implementing price cuts on specific models. This strategy aims to maintain market share and competitiveness amidst rising costs, but it could reduce profit margins.
Supply Chain Disruptions: Tariffs complicate the automotive supply chain, creating uncertainties and potentially leading to delays in production and delivery.

Considerations for Consumers:

Budgeting: Factor in potential price increases when planning a car purchase.
Model Selection: Consider vehicles less impacted by tariffs if budget is a major concern.
Timing: Assess whether delaying a purchase could be advantageous, depending on market response and future tariff adjustments.

Long-Term Outlook: The long-term implications remain uncertain. While tariffs might provide short-term protection for domestic producers, they may also stifle innovation and competition, ultimately harming the industry’s long-term health. The industry’s adaptability and response to these challenges will shape its future trajectory.

Why tariffs are a bad idea?

Tariffs, despite initial appearances, often lead to net job losses, not gains. While a tariff might temporarily boost employment in a protected industry like steel (as seen under the first Trump administration), this is usually a small, short-term effect significantly outweighed by broader negative consequences. The higher prices resulting from tariffs reduce consumer purchasing power, impacting industries dependent on consumer spending. This ripple effect leads to job losses across various sectors, exceeding any gains in the protected industry. Furthermore, retaliatory tariffs from other countries severely impact export-oriented businesses, causing further job displacement.

Numerous studies have demonstrated this negative correlation between tariffs and overall employment. The initial “boost” in the protected sector often involves less efficient production methods and higher prices, ultimately harming the long-term competitiveness of the economy. Consider this: a steel tariff might save a few thousand steelworker jobs but cost tens of thousands of jobs in industries reliant on steel, such as construction and automotive manufacturing. The overall economic impact, considering lost productivity and decreased consumer spending, paints a much bleaker picture than the isolated increase in steel jobs.

Importantly, the purported benefit of protecting domestic industries through tariffs often overlooks the efficiency gains from free trade and specialization. Countries should focus on leveraging their comparative advantages, not on artificially propping up inefficient domestic industries through trade barriers. In short: while a specific industry might show a temporary employment increase, the wider negative economic consequences of tariffs far outweigh any localized benefits.

Which cars will not be affected by tariffs?

As a frequent buyer of popular goods, I can tell you that the tariff impact on car purchases hinges on timing and origin. Pre-tariff purchases of new, in-stock vehicles are safe. This applies even if the car is imported, as long as it’s already in a dealer’s lot before the tariffs take effect. Crucially, all in-stock used vehicles are exempt, regardless of origin.

In short: Buy now if you can. The uncertainty surrounding future prices makes getting a vehicle already on the ground a smart move. However, be sure to confirm the exact in-stock status with the dealership, and ensure they can confirm the car was imported before the tariffs went into effect. This detail is crucial. New vehicles manufactured outside the US but in-stock are also unaffected.

Should I buy a car now or wait tariffs?

The looming 25% tariff on imported cars presents a significant decision for prospective buyers. While waiting might seem prudent, the consensus among automotive experts leans towards purchasing now, particularly if you’re already actively shopping. The potential cost increase is substantial; a $25,000 vehicle could see a $6,250 price jump. This increase will likely impact both new and used car prices, as the used car market adjusts to the increased cost of new vehicles. Considering the current inventory levels and potential for supply chain disruptions, waiting could mean longer lead times and a more limited selection of models. While lease agreements might offer short-term price protection, the long-term effects of the tariffs on lease renewal or buy-out options remain uncertain. Therefore, for those needing a vehicle and comfortable with the current market conditions, purchasing now offers greater price certainty and avoids potential future price hikes and stock limitations.

It’s crucial to compare financing options thoroughly. While interest rates are a factor, the substantial tariff-driven price increase outweighs minor interest rate fluctuations in many cases. Shop around for the best deals and consider your long-term driving needs. Don’t solely focus on the sticker price; factor in insurance, fuel economy, and maintenance costs to determine the true overall cost of ownership.

Ultimately, the decision depends on individual circumstances. However, for many, the immediate financial implications of the tariff outweigh the potential risks of buying now.

Why are cars so expensive right now?

The current sky-high prices of new and used cars aren’t solely due to tariffs. Three key factors are at play. High consumer demand, fueled by the post-pandemic economic recovery, is a major driver. This surge in demand has given manufacturers and dealerships significant pricing power, allowing them to maintain elevated prices. This is further exacerbated by microchip shortages, which have significantly hampered production, limiting supply and thus boosting prices. Furthermore, inflationary pressures across the board – impacting raw materials, transportation, and labor costs – contribute significantly to the increased manufacturing and retail costs ultimately passed on to consumers.

Should I wait to buy a car until 2025?

Considering a new car purchase? 2025 might be a smart year to buy, especially for less popular models. Increased supply is expected to drive down prices, with some manufacturers already announcing lower Manufacturer’s Suggested Retail Prices (MSRP) for their 2025 models. This increased inventory should translate to less pressure on consumers to accept dealer markups.

Key takeaway for 2025 car buyers: Don’t pay over MSRP. Regardless of what salespeople claim, inflated prices due to market conditions are becoming less prevalent. Shop around and negotiate aggressively. Remember, you are not obligated to accept a price exceeding the manufacturer’s suggested retail price.

Factors influencing 2025 car prices: The automotive industry is still recovering from the supply chain disruptions of recent years. Increased production and improved chip availability are expected to significantly impact pricing. However, interest rates and overall economic conditions will also play a role. Researching specific models and their projected availability is crucial before making a decision.

Beyond price: Consider fuel efficiency standards and the growing availability of electric and hybrid vehicles. 2025 models may offer improved technology and features compared to older models, so factor this into your decision. While lower prices are anticipated, it’s important to compare models and features across different brands and years.

Why are US cars so expensive?

The soaring price tag on American vehicles is a multifaceted issue. It’s not simply one factor, but a confluence of challenges driving up costs.

Raw Material Costs: The price of steel, aluminum, and plastics – crucial components in car manufacturing – has skyrocketed. This increase is directly passed onto the consumer, impacting the final price significantly.

Supply Chain Disruptions: Global supply chains remain fragile. Delays in procuring parts, stemming from factors like the pandemic and geopolitical instability, increase production times and costs. Manufacturers often absorb some of these costs initially, but eventually, these are reflected in higher sticker prices.

Technological Advancements: Modern vehicles are packed with technology: advanced driver-assistance systems (ADAS), infotainment systems, and electric components. These technological advancements, while beneficial, add to the manufacturing complexity and expense.

ADAS: Features like automatic emergency braking and lane-keeping assist require sophisticated sensors and software, raising manufacturing costs.
Infotainment: Large touchscreens and integrated connectivity options significantly increase the cost of the vehicle’s electrical architecture.
Electrification: The transition to electric vehicles (EVs) brings its own set of expensive components like batteries, requiring significant investment and impacting the overall cost.

Regulatory Standards: Meeting increasingly stringent safety and emissions regulations demands significant investment in research, development, and engineering, all contributing to higher production costs.

Inflation: General inflation across the economy further exacerbates the situation. Increased labor costs, transportation expenses, and energy prices all add to the overall production expenses, directly impacting the final price.

Labor Costs: Wage increases for skilled workers in the automotive sector contribute to higher manufacturing expenses.
Transportation: Shipping and logistics costs have significantly increased due to fuel price fluctuations and global supply chain complexities.
Energy: The energy-intensive nature of automotive manufacturing makes it particularly vulnerable to energy price hikes.

In short: The high cost of American cars is a result of a perfect storm of interconnected economic and logistical challenges, making them more expensive for consumers.

Why is the car industry struggling?

OMG, the car industry’s struggles are a total nightmare for us shopaholics! Supply chain issues? Like, seriously? Fewer cars mean less to choose from! But the upside? Dealerships were *killing* it with those inflated prices! A total score for them, but a disaster for my bank account. I almost cried when I saw those sticker prices.

And don’t even get me started on the interest rates! They skyrocketed! Suddenly, only the mega-rich could afford their dream cars. I had to settle for a much older model. It was a heartbreaking experience! I heard that some manufacturers are even offering incentives like 0% APR financing and cashback to stimulate sales. But even with that, it’s still a huge commitment.

The whole situation is a major blow to the car shopping experience. The lack of inventory and high prices made it almost impossible to find a good deal. I read that some analysts predict that the chip shortage and supply chain problems will continue to impact the car industry for several years. It’s totally depressing. This is why I started following automotive news and dealership websites religiously! You have to be quick, my friend, quicker than ever. Even then you’ll probably need to make some compromises.

I also learned that the used car market exploded! Prices went crazy high because of the new car shortage. That meant even used cars were harder to get! Talk about a double whammy! I actually saw a ten-year-old car listed for nearly the price of a brand new one a few months ago!

What is the biggest risk for the automobile industry?

The biggest risk for the auto industry isn’t what you might think – it’s not electric vehicles or even competition from other manufacturers. It’s actually safety, both for the workers building the cars and for the drivers using them. Think of it like this: you wouldn’t buy a car with a bad safety rating, right? Similarly, manufacturers need to prioritize worker safety to ensure quality and avoid costly liabilities.

So what are the major safety concerns? Let’s break it down, like comparing product reviews on my favorite online shopping site:

Manufacturing Hazards: This is a big one. Imagine the sheer scale of a factory; risks are everywhere.

Struck-by/Caught-in/Between: Heavy machinery, moving parts – the potential for serious injury is immense. It’s like accidentally hitting “buy now” on a super expensive item – you really don’t want to make that mistake!
Manual Material Handling: Think lifting heavy parts all day. This is a top cause of workplace injuries, leading to strains, sprains, and more. It’s like carrying all your online shopping home at once – not advisable!
Slips, Trips, and Falls: Oily floors, cluttered walkways. Pretty much every factory has these hazards. It’s like navigating a poorly designed website – frustrating and potentially dangerous.
Fire Hazards: Working with flammable materials and welding? This is a high-risk environment that requires rigorous safety protocols. Think of this as a major safety concern, like clicking on a suspicious link.
Chemical Spills/Releases: Exposure to hazardous chemicals can lead to serious health problems. It’s like buying a faulty product – you need to be careful and report it!

Lack of PPE and Emergency Preparedness: Imagine building cars without proper safety equipment or a plan for emergencies. It’s like leaving your house without insurance – it’s a recipe for disaster! This is a major concern that impacts everything else.

The bottom line? A safe manufacturing process is not just morally right but also crucial for long-term success. A company with a good safety record is like a product with great reviews – it builds trust and confidence. Ignoring safety is the biggest risk for the entire industry.

What are tariffs pros and cons?

Tariffs are a hot topic, even in the tech world. Think of them as taxes on imported goods. While they might seem simple, their impact on gadgets and tech is complex.

Pros: Increased government revenue can fund things like R&D grants for domestic tech companies, potentially leading to innovation and job creation in your own country. Protecting domestic businesses and jobs means more local companies manufacturing smartphones, laptops, and other devices – potentially boosting the economy.

Cons: Higher prices for consumers are a major drawback. Tariffs on imported components can make gadgets more expensive. This also has a ripple effect throughout the economy as increased prices impact purchasing power across the board. Think about the impact on the availability and affordability of the latest smartphones or gaming consoles. Lobbying and corruption are serious concerns; powerful companies might influence tariff policies to their advantage, potentially harming smaller competitors and consumers.

Retaliatory tariffs are another major concern. If one country imposes tariffs on another’s tech exports, that country may retaliate, creating a trade war that harms both sides. This scenario could disrupt the supply chain for essential tech components and significantly impact product availability and innovation globally.

The impact on global supply chains is particularly significant in the tech industry. Many gadgets rely on components from multiple countries. Tariffs can disrupt these chains, leading to delays, shortages, and higher prices.

Ultimately, the effect of tariffs on the tech sector is a complex balancing act between protecting domestic industries and ensuring affordable and readily available consumer goods. The potential benefits need to be carefully weighed against the significant risks to consumers and the global economy.

Who hated tariffs?

The impact of tariffs in the antebellum South was profoundly negative, fueling a deep-seated resentment that ultimately contributed to the secession crisis. Southern states, heavily reliant on agricultural exports like cotton, viewed protective tariffs as a form of economic oppression. These tariffs, designed to shield Northern industries from foreign competition, raised the prices of imported goods, impacting Southern consumers and limiting their access to affordable manufactured products.

Why the South Hated Tariffs: A Deeper Dive

Unconstitutional? South Carolina’s nullification crisis exemplified the belief that tariffs were an overreach of federal power, violating states’ rights.
Economic Disadvantage: The South’s agricultural economy was directly harmed. Higher prices on imported goods reduced profits and increased the cost of living. They felt they were subsidizing the North’s industrial growth.
Taxation Without Representation: The perception existed that the tariffs were a form of taxation without adequate representation, furthering the feeling of being exploited by the federal government.

Conversely, the North benefited significantly. Protectionist tariffs nurtured the growth of its burgeoning industrial sector by making imported goods more expensive, thus increasing the demand for domestically produced alternatives. This fostered economic growth and job creation in Northern cities.

The North’s Perspective:

Industrial Growth: Tariffs provided a competitive advantage to Northern manufacturers, allowing them to flourish and expand.
Job Creation: The protectionist policies supported employment in factories and related industries, contributing to the North’s economic strength.
National Development: Northern proponents viewed the tariffs as a means to strengthen the nation’s overall economy, even if it meant regional economic disparity.

The stark contrast in viewpoints regarding tariffs highlights a key source of tension between the North and South, ultimately contributing to the escalating conflict that culminated in the Civil War. The economic realities of the time, perceived unfairly and differentially, laid the groundwork for deep political and social divisions.