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The history of why dealership came to be is an interesting one, and why the laws was originally passed was in some way valid However today dealerships collecti
by syshum 6y ago
The history of why dealership came to be is an interesting one, and why the laws was originally passed was in some way valid
However today dealerships collectively enjoy HUGE state level political power, as in most states the bulk of sales tax revenue is directly tied to the resale of cars, thus the dealers of said cars have out-sized pull in state governments
- kortilla 6y agoBeing a large source of tax revenue does not imply political power. Campaign contributions do.
- CamperBob2 6y agoActually, it does. If a large source of tax revenue vanishes, the legislators will need to raise taxes on someone else to make up for it. They would rather not do that, given a choice, because of all the wailing and gnashing of teeth that will result from the people whose taxes go up.
- stephenboyd 6y agoLegislators aren't especially influenced by big tax contributors and the same taxes would be paid by the manufacturer-owned stores anyway. It's just that once the dealer network is created they become a large and highly motivated special interest group. The dozens or hundreds of people that work at each dealership and their families have mostly outnumbered the voters who care strongly about the ability to buy direct, but this has been changing lately.