Robinette Hood: Here’s How Biden’s EV Agenda Will Take From The Poor And Give To The Rich
By Marc Morano
April 10, 2024
11:02 am
By NICK POPE
President Joe Biden’s massive electric vehicle (EV) agenda will subsidize the lifestyles of America’s well-to-do while hitting average people the hardest, economists and auto market analysts told the Daily Caller News Foundation.
The Biden administration is aggressively regulating the U.S. auto market to drastically increase the proportion of EVs sold over the coming decade, but consumer demand has not taken off as quickly as proponents had projected despite the subsidies made available by Biden’s flagship climate bill, the Inflation Reduction Act (IRA). Manufacturers are slashing prices of their EVs to make the vehicles more appealing to consumers, which will increase prices for internal combustion engine (ICE) cars to compensate; this dynamic will only pick up speed and infect the used-car market favored by lower-income consumers as the administration’s stringent regulations kick in over time, economists and auto market analysts told the DCNF.
EVs benefit from direct subsidies, such as the IRA’s $7,500 consumer tax credit, but they also will increasingly benefit from a hidden cross-subsidy whereby manufacturers drop their prices and offset those losses by boosting prices of ICE vehicles, experts explained to the DCNF.
https://www.climatedepot.com/2024/04/10/robinette-hood-heres-how-bidens-ev-agenda-will-take-from-the-poor-and-give-to-the-rich/
