There should be some sort of law that prevents this. Musk's companies have taken over 5 billion in government subsidies, why are my tax dollars going towards the creation of billionaires?
Yeah they've stoked CEO payouts and golden parachutes and stock dividends just as much as they've stoked transportation. If corporations need government money to be forward-looking then I want some of that profit coming back to the government, not just going out to the investor class.
The subsidies do have a reason to exist, but I agree that they're misdirected. They could directly fund R&D of battery/EV/aerospace technology instead of subsidizing luxury vehicles that only serve as a novelty for the rich.
The subsidies are directly funding R&D of battery/EV/aerospace technology. But this way, the rich people buying the cars are also funding it, as well as the investors buying equity. The tax incentives are working precisely as they were designed, and for every dollar in subsidy there’s probably $9 more in outside investment coming onboard.
I get that you have strong feelings. But this is just uninformed. If you took a sec to understand Musk's comp structure you'd see that its paper wealth, as in he doesn't take cash out of the company. Instead he puts cash in the company. Also he only sold stock to pay taxes. I'd guess its likely he paid more in taxes than you, if you're an average earner.
~$600 million in taxes actually.[1] But strangely nobody seems to subtract that amount from the value of the electric vehicle credits...
Anyone who's been there and done this knows that what the IRS giveth with one hand, the IRS taketh away with the other. The house never loses, and there is no house like the United States Government.
>If you took a sec to understand Musk's comp structure you'd see that its paper wealth, as in he doesn't take cash out of the company.
So far, the obvious implication is that at some point in the future Musk will become even more rich, mainly off converting his paper wealth to cash wealth. I cannot get behind the idea of taxpayer wealth being used to make billions of dollars for a few wealthy individuals.
>I'd guess its likely he paid more in taxes than you, if you're an average earner.
I think a lot of people miss that R&D is expensive and it is often takes those who can 'throw away money' to help fund it. This is on top of any subsidies that may exist for that R&D.
Look at cars, cell phones, computers and airplanes ("[1930's] Most people still rode trains or buses for intercity travel because flying was so expensive. A coast-to-coast round trip cost around $260, about half of the price of a new automobile. Only business executives and the wealthy could afford to fly.)"
I would love to travel to Space one time and I hope some day I can take a flight into space. Right now, space flight will literally be a "luxury vehicle that only serve as a novelty for the rich." There is no way I'll ever be able to afford it unless it is first affordable by the rich.
