Electrek spoke with Brad Greenwood, professor of information systems and operations management at George Mason University’s School of Business, about his recent research, which found that EV subsidies rolled out in China – similar to the US’s new $7,500 EV tax credit – incentivized people to buy EVs as second vehicles, but they kept buying and driving gas cars as well…

Electrek: What do you think would make subsidies more effective?

Brad Greenwood: That’s a matter of speculation. What appears to be critical, though, is mandating abandonment of a gas car when purchasing the EV – that is, the gas car needs to be traded in, at least in the emerging stage of the market. We’re obviously going to need a lot more research to substantiate the factors that increase or decrease the efficacy of subsidies, but that’s the direction we’re pointed in now.