The Biden administration has borrowed heavily to fund its green agenda, and it has also based its economic strategies on environmental concerns. The purpose of the new tax credits is to encourage the purchase of electric vehicles in the United States and give American manufacturers an edge in the expanding EV industry. To get us off of gas-powered automobiles, Biden has so far just dangled a carrot. Will he resort to the stick if that fails?
.@HouseGOP is fighting for the working class – Dems are protecting their donor class— Rep. Chip Roy Press Office (@RepChipRoy) May 9, 2023
Over 90% of green energy credits go to corporations making over $1 billion/year
78% of EV tax credits go to people making over $100K/ year
CHINESE companies will benefit from Biden's subsidies https://t.co/iUESqDgqzj
According to a research published in June 2022 by the Edison Electric Institute (EEI), a trade association for American electric utilities, there would be 26.4 million EVs on the road in the United States by the end of the decade. This same organization was optimistic about the EV industry in 2018, predicting sales of 18.7 million electric vehicles by 2030. According to the 2022 study, it took eight years for one million electric cars to be sold in the United States, but it only took three years for another million to be sold. By 2030, EEI predicts annual sales of over five million.
The federal government is encouraging the adoption of EVs by providing buyers with up to $7,500 in tax credits. Credit regulations are complex and subject to frequent modification, but they are intended to encourage the purchase of US-made electric vehicles.
Will the incentive of $7.5k get more Americans to buy EVs? They’re still not inexpensive, even with the rebate, and lengthy trips can be difficult due to limited range and a shortage of charging stations. Some people might benefit greatly from owning an EV, while others should look elsewhere.
Unfortunately, Biden appears to be oblivious to it in his preoccupation with the color green. Some others even think the government has no business dictating car choices. The Democrats appear to have settled on EVs as the way forward, but there are other options besides gasoline and diesel. For instance, hydrogen-powered engines seem promising. In most cases, letting the market select which technology to adopt is the wisest course of action.
The Biden administration is optimistic about the future of electric vehicles, but similar predictions were made about Betamax VCRs.