Stimulating Anachronism, Stifling Innovation

[Kevin_Kennedy]

I saw my first Tesla Roadster a few weeks ago; I passed it in Los Angeles on my way to the airport. I have heard interesting things about Tesla as an innovative company: they have broken new ground on the production of cars that don't run on gasoline and that don't produce noxious emissions. The first-generation Tesla Roadsters are shockingly expensive, carrying a sticker price of $100,000, but we should expect this price to fall as the technology and production methods improve.

Unfortunately, this progress won't proceed as rapidly as it otherwise would because the government is tying up capital trying to prop up the gigantic and inefficient "Big Three" car companies that were in some ways the iconic firms of the mid-20th century. These resources are being wasted: they could be used more efficiently and more profitably, and therefore more effectively, by firms like Tesla that are producing the products of the 21st century.

Stimulating Anachronism, Stifling Innovation - Art Carden - Mises Institute

 

[neurosport]

well that shit is obvious.

we have good companies here America like Google and the government is trying to kill them off by taking money from them and giving it to miserable failures like GM.