> You didn't say why this is a bad solution. The government mandates that cars get safer every year and fatalities are down 78% from the 1960s. Whenever government regulates things to benefit people, people tend to benefit.

That's widely incorrect. EU mandates some active systems (TC, ABS) and some basic level of physical protection, but majority of gains there have been driven by manufacturers trying to ace eachother in EuroNCAP rating

EU makes sure woefully unsafe car can't be sold, sure, but most of the progress here has been manufacturers, and non-car-related road safety improvements.