Tesla shares tank; here’s one more reason why

Re:Tesla shares tank; here’s one more reason why by mariusz79 on Wednesday September 26, 2012 @08:44AM (#4575267)

Here is the problem with Tesla, SpaceX and other Musk's companies - they depend on government loans, tax incentives and subsidies. They need them to exist, and without them none of the companies would have a slightest chance of success. As soon as the subsidies, tax incentives or loans stop - so does Musk's empire.

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Re:Tesla shares tank; here’s one more reason why by bryanlarsen on Wednesday September 26, 2012 @08:54AM (#4575304)

Here is the problem with GM, Chrysler and other companies. They depend on government loans, tax incentives and subsidies. They need them to exist, and without them none of the companies would have a slightest chance of success.

Besides the direct bail-out Obama gave GM & Chrysler when they were about to go under, the conventional car companies depend on a huge government subsidy called externalities. Cars depend on a vast road system whose cost is mostly paid for via income and property taxes. Conventional cars also impose huge external costs via pollution and car insurance.

If the implicit subsidies to oil-burners were to stop at the same time as the subsidies to Tesla, Tesla would be partying in the streets.

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Re:Tesla shares tank; here’s one more reason why by mariusz79 on Wednesday September 26, 2012 @09:00AM (#4575333)

Just because it seems that everyone can now get government subsidies it does not make it right.

It's like saying - Eat sh*t. Billions of flies can't be wrong.

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Re:Tesla shares tank; here’s one more reason why by bryanlarsen on Wednesday September 26, 2012 @09:04AM (#4575347)

Either cut everybody off or cut nobody off. Philosophically I'd rather the former, but practically I prefer the latter. The riots we'd get with $20/gallon gasoline are pretty off-putting.

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Re:Tesla shares tank; here’s one more reason why by mariusz79 on Wednesday September 26, 2012 @09:17AM (#4575401)

Or maybe $20/gallon gasoline would make solar make more sense? Maybe then we would need to find a way to make more efficient cars?

Subsidies don't help anyone - except people getting them.

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Re:Tesla shares tank; here’s one more reason why by 127001brewer on Wednesday September 26, 2012 @08:50AM (#4575289)

Don't other (recently started) companies depend on government loans, tax incentives and subsidies?

I think it's a good thing that these incentives exists so that (potentially) disruptive companies can be started.

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Re:Tesla shares tank; here’s one more reason why by mariusz79 on Wednesday September 26, 2012 @08:55AM (#4575305)

I never said that it is bad that these incentive exist. Personally I own some Tesla stock. I just believe that business that so heavily depends on these incentive will have trouble succeeding. (unless its a part of the military industrial complex)

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Re:Tesla shares tank; here’s one more reason why by raverbashing on Wednesday September 26, 2012 @08:51AM (#4575292)

It's a way of doing business, not necessarily bad (or good)

But I assume private customers will make up for the expenses when the loans end.

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