Electric Car Subsidies Are a Plus, but Could Be Improved, Study Finds

October 7, 2024

The New York Times

The New York Times shares new study by Joseph Shapiro, Energy Institute Faculty Affiliate and co-authors, assessing the $7,500 tax credit for U.S.-made electric vehicles in the Inflation Reduction Act.

“A team of economists has taken on a central component of the Inflation Reduction Act: the $7,500 tax credit for U.S.-made electric vehicles…The researchers estimated that for every additional electric vehicle the new tax credits put on the road, about three other electric vehicle buyers would have made the purchases even without a $7,500 credit.”

Photo: nytimes.com