At first blush it might seem to make sense for cash-strapped cities to charge drivers for car accidents, a quick and easy way to raise revenue for the fire department and the police. But there are costs involved too. Getting drivers or their insurance companies to pay can be expensive. And the bad blood generated by the new crash charge is also costly.
Tuesday, March 8th, 2011
The price of a car crash
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Eduardo Porter writes about business, economics, and many other matters as a member of the New York Times editorial board. He has also worked as a journalist in Mexico City, Tokyo, London, São Paulo, and Los Angeles. He was the editor of the Brazilian edition of América Economía and covered the Hispanic population of the United States for The Wall Street Journal. He lives in New York.