California's Ten Percent Electric Car Requirement: Should it be Implemented?

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California's 'ten percent' electronic car requirement: Should we implement it in our state? Introduction As the chief policy analyst of state XYZ, it was with great interest that I read of California's recent proposal to reduce mobile-source emissions by requiring that 10 percent of all new cars in the state be electric. Although this policy only applies to the state of California, given our location, it is inevitable that there will be some 'spill over effects' upon the local economy both in the short and the long term. Also, it has been suggested that it may be advantageous for our own state to adapt such a proposal, given the economic and political pressures that will arise thanks to California's example. Economic impact analysis A 10 percent electric requirement will have an impact upon car sales in our state. At present, vast majority of the cars sold in state XYZ are not electric. There will be an added incentive for dealerships to offer more electric cars, but given these vehicles' greater expense and the fact that not all brands of electric cars are equally popular, it will also mean that the law will have disproportionately beneficial effect upon car manufacturers that have made substantial investments in electric vehicles, such as the GM's Chevy Volt. However, there might be some overall benefits for the economy and the automobile industry even for manufacturers that have not emphasized such cars. Dealers might profit from increased sales of costly electric

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