Depowering risk: vehicle power restriction and teen driver accidents in Italy

This paper investigates the road safety impact of a power restriction on novice drivers. The restriction, introduced in Italy in 2011, prevents drivers from using high-performance vehicles during the first license year. To estimate the effect on teen traffic accidents we leverage the between-cohorts difference in the exposure to the reform. We find that, when prevented from using high-powered cars, teens are 13% less likely to cause an accident and 28% less likely to cause a fatal accident, mainly because of fewer speed violations. This effect persists even after the one-year restriction expires. Our findings highlight the importance of targeted policies – directed at those generating the largest harm – limiting exposure to specific high-risk settings. These policies stand out as an effective, yet feasible alternative to deterrence-based strategies and screening mechanisms, which are often difficult to enforce and sustain.