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The vast majority of EV credits go to high income / high wealth individuals. No middle or low income family is going to claim a $7500 tax credit for a Tesla. An
by koolba 8y ago
The vast majority of EV credits go to high income / high wealth individuals. No middle or low income family is going to claim a $7500 tax credit for a Tesla. And they don’t get to claim it on a used one anyway.
Taxing bad things encourages not using them. Subsidizing winners picked by lobbyists will increase that product’s usage but it’s not necessarily the “best” answer for the core problem.
Nobody actually cares about EV usage besides EV makers. We just want to go from point A to point B with minimal cost and environmental impact. If that’s electric, gas, or nuclear fusion, it’s all the same.
- zdragnar 8y agoYou can't have a second-hand market without a first owner market, and EV prices won't drop because ICE prices rise, they drop because competitors enter a market to meet expending demand for EV, and economies of scale and demand for better efficiencies for the more expensive components. Generally speaking, dont like either the subsidy or the tax approach, but if the goal is to get more EV than ICE purchases, you're going to hurt a lot of people along the way by going the tax approach, and we're not set up to mediate the regressive effects of doing so.