U.S. Rep. Dan Lungren’s bill that will award US$ 1 Billion to the first US incorporated automobile company who can sell 60,000 units of 100 mpg
gasoline powered car is enticing. But isn’t the price too much?
The reward may be huge at first glance but this maybe one of
the cheapest way to hasten the development of 100 miles per gallon vehicles. Other
companies, not only in the automotive industry, usually use contests to come up
with innovative products. Contests such as this one, when marketed correctly,
generate more ideas and produce more participants. These contests reduce funding
for R&D in companies and, in turn, leave the development of ideas in the
hands of the competitors.
There have been contests about 100 mpg vehicles in the past
as well but let’s face it - the winners only complied with the guidelines set
forth by the organizers. The winning vehicles are not even visually appealing. The designs are not that good and they lack the added features that normal
vehicles have. Some even lack the ordinary features that we commonly look for
in our cars.
