Fasten seat belts: Do car safety systems cause positive externalities?

Michael Berlemann () and Andreas Matthes ()
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Andreas Matthes: Dresden University of Technology

Economics Bulletin, 2011, vol. 31, issue 4, 2915-2921

Abstract: Although traffic safety belongs to the quite intensively regulated sectors, there has been little discussion about the adequacy of the arguments underlying these regulations. We argue that passive and active car safety systems might cause positive externalities for other traffic participants and present empirical evidence in favour of this hypothesis.

Keywords: car safety; externalities; regulation (search for similar items in EconPapers)
JEL-codes: K2 L5 (search for similar items in EconPapers)
Date: 2011-10-16
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