Economics
In the News
Diesel ban approved for German cities
27th February 2018
An interesting adjunct to the news that diesel car sales are on the slide in the UK and the effect that this has had on CO2 emissions: the German courts have ruled that two cities will be able to ban some of the most polluting vehicles from city centres in the hope of reducing the negative externalities of pollution. 2 of Germany's most polluted cities, Stuttgart and Düsseldorf have been granted the legal right to ban diesel vehicles in effort to cut nitrogen dioxide emissions.
Is this necessarily going to improve the situation? And can you evaluate the likely effects of such a policy?
Think in terms of opportunity cost, a potential for government failure and distributional issues.
Germany just approved a ban for diesel cars https://t.co/GAtIm1xGT2
— The Independent (@Independent) February 27, 2018
#Germany's Dax drops as German court backs city bans on diesel cars. Shares of VW, Daimer & Co. markedly lower. pic.twitter.com/sVtpvQt7DW
— Holger Zschaepitz (@Schuldensuehner) February 27, 2018
Cities in Germany have the right to ban some diesel cars, according to the country's Federal Administrative Court https://t.co/E8LiQGaSHd
— CNN International (@cnni) February 27, 2018
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