An income-based vehicle mileage tax would be a fairer way to solve America’s road funding crisis.
America’s roads are crumbling and underfunded. One possible solution to this funding crisis is the introduction of a vehicle-miles-traveled (VMT) tax, though this has been criticized as placing a greater burden on poorer drivers. In new research Di Yang, Eirini Kastrouni, and Lei Zhang examine the effects of an income-based VMT where those with higher household incomes pay more. […]