Friday, July 10, 2015

Brookings: Autonomous Vehicles Will Shake Up Government Revenue

In a recent report the Brookings Institute predicts that in 20 years a significant number of Americans will likely travel via autonomous vehicles (AVs). The good news is that the widespread adoption of that technology should reduce speeding tickets, DUIs and towing fees. However, cutting down on those citations could seriously cut into government revenue.

AVs are not exclusively bad news for government, though, since increasing safety and reducing inefficiencies in transportation infrastructure could theoretically save government and taxpayers major expenses. It is a complicated issue, but Brookings points to a report from National Highway Traffic Safety Administration that concludes that in the U.S. 7% of vehicle crash costs are paid for by public revenues. Eliminating those expenditures could save taxpayers an estimated $10 billion each year.

Read more at Brookings’ website.