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Can Elon Musk Be Weaned Off Government Support? (thehill.com)

Posted by BeauHD on from the pros-and-cons dept.

mi shares an opinion piece written by Jenny Beth Martin via The Hill: A study published in 2015 by The Los Angeles Times revealed that just three of Musk's ventures -- SolarCity Corp. (which manufactured and installed solar energy systems before its 2016 merger with Tesla Motors Inc.), Tesla Motors Inc. (which manufactures electric vehicles), and Space Exploration Technologies Corp., known as SpaceX (which builds rocket ships) -- had received $4.9 billion in government subsidies to that point in time. By now, Musk's various ventures have sucked well over $5 billion from government coffers. Worse: in order to induce car buyers to spend their money on electric vehicles, the federal government offers a $7,500 rebate on the purchase price. Some states enhance that rebate with rebates of their own. In California, for instance, purchasers of electric vehicles get a state-funded rebate of $2,500 more.

Slashdot reader mi asks: "Why are you and I subsidizing Elon Musk's products and when will his businesses be able to compete on their own?"

3 of 270 comments (clear)

  1. Tax breaks are government support as well... by lpq · · Score: 5, Interesting

    Can people/businesses get by with out any government handouts in the form of tax breaks (incentives, rebates, credits, etc).

    How about "non-profits", or government support of churches by not requiring religions to pay property tax on their holdings?

    If I don't go to a mainstream church, and worship in my home, why should the mainstream churches get tax breaks and not me?

    The government is always "meddling" by creating tax breaks for "behaviors" that it "desires". I.e. tax free donations, etc.

    In 2007-2008, Bush gave a huge government bailout to the Investment Banks -- should we ask if they could have survived w/o the handout?

    So Musk's companies are taking advantage of areas where the government offers tax benefits -- why is anyone asking about "Musk" (personally) or his company, when he's exercising the same tax benefits available to MANY other companies, organizations and people.

    Why not go after ALL the tax breaks for "everything" and not just single out "Musk" for his businesses benefiting from government policy?

    Many companies and businesses would FAIL bigtime without government financing. Think of the military industrial complex -- can they exist w/o government benefits?

  2. This is such bullshit by Anonymous Coward · · Score: 1, Interesting

    Where are all the hit pieces criticizing government subsidies paid to everybody from Fortune 100 oil companies and defense/aerospace contractors to corn farmers in Bumfuck, Iowa?

    What makes Musk and his companies so special, exactly?

  3. Re:Slashdot user mi - want to talk subsidies? by barc0001 · · Score: 5, Interesting

    https://www.theguardian.com/environment/climate-consensus-97-per-cent/2017/aug/07/fossil-fuel-subsidies-are-a-staggering-5-tn-per-year

    According to new information compiled, 6.5% of the global GDP goes into fossil fuel subsidies. You want to stop subsidies? I agree. Let's stop ALL of them. Electric cars will be a no brainer when gas is $8 a gallon.