Tesla Raises $1B from Stock and Bond Sale

Re:Tesla Raises $1B from Stock and Bond Sale by revelation on Saturday May 18, 2013 @03:20PM (#5730012)

Yes of course, but theres a very big difference between a direct subsidy with hard cash (or a loan guarantee) and an open-to-all incentive system, not last in public perception.

Your wording simply suggested to me that you thought these were somehow backed with government money. I'm sorry if I misinterpreted here.

Musk has said in conference calls that their 25% margin target is not predicated (at all) on credit revenue, but he can't magically make money appear, so that remains to be seen.

There is a very worthwhile recap of the regulatory credits systems here:

http://www.teslamotorsclub.com/showthread.php/16357-Regulato...

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Re:Tesla Raises $1B from Stock and Bond Sale by damoncali on Saturday May 18, 2013 @06:06PM (#5730641)

It's semantics. The net effect is that the government forces the transfer - It's no different than if they had taxed it and granted it.

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Re:Tesla Raises $1B from Stock and Bond Sale by revelation on Saturday May 18, 2013 @09:52PM (#5731404)

Huh? Much everything the government does to markets is incentive based regulation. The whole tax-code might be considered such.

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Re:Tesla Raises $1B from Stock and Bond Sale by damoncali on Saturday May 18, 2013 @11:48PM (#5731685)

If it weren't for government force, those credits that netted Tesla millions would never have been purchased. Therefore, they have the same net effect as if the government had taken the money from the buyers and given it to Tesla. That is logically equivalent to a government subsidy for Tesla (or any company in their position).

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