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What about peak load

You've got 150 people in a village

Half drive, so that's 75

You've got 10% of people who want a car for this sort of distance (3000km), so that's 8. Of those chances are at least some of the time almost all of them will want to use it over the same period. Maybe you can get away with 6 or 7 cars instead of 8, with some risk, but that's not saving much, and you're adding a lot of inconvenience (car won't be in the right place), overhead, and risk (what if you need a car now and there's none available?)

If you want to tackle the externalities of the resources producing the car, tax them at the same rate as taxing other resources.

Of course that's a big village, what about a group of half a dozen isolated houses 2 miles from the village?



Sure, if peak load is 90% of users wanting to go on long distance trips simultaneously then it doesn't work out.

Why would peak load be that high, though?




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