New Jersey’s anti-Tesla laws and the car dealership racket

Over 70 economists and law professors have signed a letter opposing New Jersey’s direct automobile distribution ban.

Why should you care?

This ban is aimed at keeping the Tesla electric car out of New Jersey, but this effects you even if you have no interest in an electric car. State laws protecting car dealerships add thousands of dollars to the cost of every new car.  NPR’s Planet Money program has an excellent summary of this issue.

The International Center for Law & Economics sent an open letter to New Jersey Governor Chris Christie today, urging reconsideration of the regulation.

As the letter notes:

 the regulations in question are motivated by economic protectionism that favors dealers at the expense of consumers and innovative technologies. It is discouraging to see this ban being used to block a company that is bringing dynamic and environmentally friendly products to market.

Among the letter’s signatories are some of the country’s most prominent legal scholars and economists from across the political spectrum.

Read the letter here: Open Letter to New Jersey Governor Chris Christie on the Direct Automobile Distribution Ban

Read Geoffrey Manne‘s post on Truth On The Market

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