EVs shouldn't be subsidized to begin with. It's a dumb idea. So dumb that if someone were to propose it as a new idea, the immediate reaction should be laughter.
That said, the least dumb way to implement the subsidy is to set a total limit of credits that all manufacturers share, and make the subsidy available at point of sale so lower income people can take advantage of it. This gives motivation for manufacturers to develop EVs immediately and in larger quantities.
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Originally Posted by Hersbird
This is also ironically the way mining and drilling for fossil fuels works. Oil left in the ground becomes more and more valuable as time goes on. If there is a such thing as peak oil OPEC is killing themselves actually producing while the US and Canada just sit on huge reserves that electric cars or not will be tapped at some point.
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I tend to believe you're right about fossil fuels increasing in value over time as supply of easily accessible oil dwindles. That said, there's always the risk of demand falling off causing prices to plummet. For instance, if a breakthrough in fusion energy were to happen that made electricity so cheap that fossil fuels couldn't compete, then demand would substantially drop.