[AnthonyMouse]

The theory that dealers are going to sit on inventory to keep prices high would have to assume that they're fools.

The banks sat on the properties because they knew the government was going to lower interest rates and otherwise cause the value of the properties to increase from their post-crash low.

For dealerships to keep prices high they would have to purposely sell fewer cars. But selling more cars for high prices is the reason they want prices to stay high -- all they'd be doing is giving the high price sale to another seller. Meanwhile they're paying to store inventory and paying interest on the borrowed money they used to buy it, or foregoing alternate investment returns if it's their own money. Only to continue holding something they could sell for high prices now so that they can wait until the prices come down and sell it for a lower price later?