I personally have been driving since I was 15 years old (now 28). I have never been in any accidents, and I love driving. I don't know what the public transportation is like where you live, but over here in Albuquerque it sucks pretty bad. I honestly couldn't imagine living here and going about my daily tasks without owning a car. Going from one side of town to the other without a car would nearly be impossible with buses. You would have to wait forever for connecting buses, and by bike you would have a very cold, or very hot and overwhelming ride. As far as having a fast car or a luxury car goes, it is no different than wanting a really well made guitar. You want quality and you want certain specs that speak to you, and don't mind paying more money for it. I drive a 72k Cadillac cts-v coupe, and I sure as hell don't need a 556HP car with a lush interior, but I love driving it. It isn't like I am a douchebag who races all of the time, it is just nice to have the extra power. I myself own two cars, and to me that makes that a lot of sense.
Echo.
My views on the subject are vastly different from the OPs simply because of my choice of locality (I immensely prefer rural locations).
I live in a town of 5000, which has no public transportation. The grocery store is just a couple blocks away, across a highway. If I need just a few items, I walk. The gas station/convenience store is a block away. Again, if I don't need more than a couple bags of stuff, I just walk. Really, if it's less than a mile away, and I'm not in a hurry...I walk.
But, the closest city is 15 miles away, and my last job was an hour away. Not possible to get around without my own vehicle. There was another guy that would ride with me to work most days, and split fuel costs, or sometimes he would drive, if the weather wasn't bad.
There is a public transit system in the nearest city (St Joseph, ~88,000 population), but it's garbage. Just not possible for a lot of the city to rely on it for everyday commutes, unless you're willing to wait 15-20 minutes for connections and arrive every day annoyingly early or late. The buses run on time, and are efficient in what they do...but they don't transport people to work every morning.
I own a $35,000 diesel truck, and a $3000 POS Jeep. One works it's ass off, the other (once it's fixed) is the fuel saver. Around here, you drive. Plain and simple. A lot of people get by with cheaper (sub-$3k, fwd gas saver) cars most of the year, and get by just fine. Some folks choose the more reliable route (like I did with my truck) so they CAN get to work during a blizzard (like I have).
I guess if I lived in a much bigger city, I'd use public trans more often, but I'll never live in a big city, so I'll always drive