Re: Subsidization of oil-rich countries and oil companies? - Saab General Bulletin Board - Saabnet.com
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Re: Subsidization of oil-rich countries and oil companies?
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Posted by Justin VanAbrahams [Email] (#32) [Profile/Gallery] (more from Justin VanAbrahams) on Sat, 25 Oct 2014 19:07:48 Share Post by Email
In Reply to: Subsidization of oil-rich countries and oil companies?, Bill Homer [Profile/Gallery] , Sat, 25 Oct 2014 17:04:22
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Indeed.

And while even the Volt isn't exactly a mainstream car at $35k, the simple fact is we don't have the technology to produce a $10k or even a $20k electric car that does what a similarly priced gasoline powered one will do. The goal in subsidizing these small quantities of expensive cars is to help drive the technology and get it into more peoples' hands.

In the specific case of Tesla, Elon Musk put big development dollars into a handful of Roadsters which sold for an exorbitant price. He put what he learned into the Model S, which is selling for half what the Roadster did. What he's learned from the S is funneling directly into the X, which will again be half as much. That is "the system" working exactly as it should - with expensive products aimed at early adopters paving the way for everyman products.

Yeah, it kinda sucks that the government has to throw in "my" cash to help get the ball rolling, but the way I look at it every rich guy driving an S is laying the groundwork for me owning an X, is saving the air from a mountain of pollutants his V12 S-class might otherwise be emitting, and helping to alleviate the demand for the petrochemicals my beater Saab needs to keep running. It's all win as far as I'm concerned. Ideal? No. But acceptable? Sure. I'm not mad at it.

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