Re: Toyota: \"No Financial Justification in US for Buying Hybrids\"
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The tax benefits are just Peter stealing from Paul.
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No they aren't. They are internalizing an externality.
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Do you feel superior to us regular mortals because you are a vegetarian?
If you do, you will understand why the hybrid buyer is willing to pay more for their car despite its having a negative effect on the environment. It makes them feel superior to the great unwashed.
The tax benefits were passed by politicians who also wanted to feel superior to the rest of us, because they "care" so much about the environment. Forget for the moment that the tax benefit has no measurable effect on the environment.
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