The reduction in new car sales because of the internet factor may need some discussion. Because motor cars need to be registered with the government before they can be used, it is very difficult for drivers or owners to do smuggling with cars, or evade the tax. The decline in the number of new car sales may well be due to the increase in the size of the market for second-hand and used car market which gets direct benefit from e-commerce. Garicano and Kaplan (2001) found that wholesale used car markets got high benefit from auction via the internet.