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Right now, the incentive is opposite: bigger cars get a break on fuel economy standards. We could start by removing that. US fuel economy standards are, as I u
by Zak 4y ago
Right now, the incentive is opposite: bigger cars get a break on fuel economy standards. We could start by removing that.
US fuel economy standards are, as I understand it on a sort of cap and trade model with respect to a car maker's average fuel economy. Much of Tesla's profit comes from selling fuel economy credits. The result of removing the break larger cars get wouldn't be that they all disappear, but their prices would trend upward.