Downtown as Fruits / Eugene's Bike - S1-E1
Continuity mistake: In the Eugene's Bike episode, when Arnold has to tie his shoe, he sets his books down on a bike in a bike rack. This causes the bike to tip over and makes all the other bikes in the rack to fall down. Eugene's bike falls into the middle of the street and get ran over. When Eugene finds out his bike is destroyed, he looks at Arnold and yells. Right after this you get a good look at the bike rack. You'll notice there are no bikes in or around the bike rack.
Answer: The show is based in present day times. Plus most cars aren't old fashtioned, I recall seeing a limo and not to mention a cherry picker, etc.