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Originally, FWD was adopted to help the general driver conduct a car as well as to make the inside of the car larger for a given size of engine, as other have correctly pointed out.
The initial development of FWD engine-transmission packages then had to be amortised across the widest range of vehicles, which means that most are now FWD and the consumer expects FWD for predictable handling and "better cornering".
What the consumer also gets is terminal understeer and harder parking, since FWD has less lock capability.
However, I remember old RWD cars - some of you may be too young - and most of them were appalling driving vehicles, aided by narrow crossply tyres and cart springing.
All modern cars handle pretty well and some are superb, whether FWD, RWD or AWD - the last being the best, provided all the sums are done right and there's enough power to overcome all the extra moving iron.
Top Gear's Driver's Car this year is the Subaru Impreza WRX GTI - nuff said.
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