The Commonwealth of Massachusetts, Joint Committee on Consumer Protection and Professional Licensure, Bill Hearing, An Act further regulating business practices between motor vehicle dealers, manufacturers, and distributors – S239 Testimony of Krisztina Pusok, Ph.D., Director, American Consumer Institute, Washington, D.C. Chairperson and Members of the Committee, on behalf of the American Consumer Institute (ACI), I […]
For decades, states have enforced anti-consumer policies that boost car dealers’ profits by sharply raising prices on American motorists. When automobiles first reached the mass market more than a century ago, manufacturers quickly settled on dealership franchises as the best distribution model. The contractual arrangements between dealerships and manufacturers meant that both parties relied on […]
Every state has laws on the books that increase vehicle costs, essentially transferring income from the buying public to car dealers. The problem is so widespread that American consumers collectively pay $47.5 billion more per year than they would in the absence of these regulations, according to a recent study by the American Consumer Institute. […]
Automobile dealerships have been the beneficiaries of state laws that require maker-dealer contracts with restrictions blatantly favoring the profits of dealers over the welfare of consumers. State regulations governing the maker-dealer supply channel constrict the level of competition among dealers offering the same make, according to a new study by the American Consumer Institute, costing […]
This Daily Caller Piece, written by ACI researcher Alan Daley, talks about the barriers to entry facing Tesla, including the roadblocks by the Automotive Dealer Cartel. You can read the article in the Daily Caller — http://dailycaller.com/2014/03/19/new-jersey-colludes-with-the-auto-dealer-cartel-in-blocking-tesla-from-direct-sales/.