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You’re proving my point. It’s no more ridiculous than influencing whether people buy an EV or ICE car. It’s also no more ridiculous than influencing whether people buy from an old manufacturer (Tesla) or a new one, since Tesla is past its 200k vehicle limit.
It’s a subsidy to encourage EV adoption. Neither side wants a “free market”; they are just approaching the subsidies differently.
If it is a subsidy to encourage EV adoption, then why put limits on on the tax credit on type of car or on income. That defeats the purpose of the subsidy which is to encourage EV adoption.