The T25…answer to all our congestion problems?

Here is a great starter for a lesson on negative externalities. The number of cars on our roads is set to quadruple to 2.5 billion by 2020 causing a massive increase in congestion. What do your students think is the solution? After an initial brainstorm you could show this article about the T25, a revolutionary road car that could change the way cars are built forever.

Click here for a video on another possible solution to the negative externalities associated with driving, the electric car.

Is it best for the government to use subsidies to increase production of these products or should they just tax people off the road?