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Macro Tourist Shorts Tesla, Explains What He Thinks Drove Crazy Rally
Read more from The Macro Tourist
The great Canadian poet Gord Downie once sang, "your imagination is having puppies". As I have stared at the price action of Tesla over the past few days, I could think of no better way to describe the optimistic pipe dreams Tesla bulls are baking into the price of this stock.
I have fielded a few questions asking what I thought about the action. Luckily for me, I had taken the ticker off my screen recently, so I have tried to ignore it. But I
Go figure. A car powered for the most part indirectly by coal, nat gas, and nuclear (less transmission losses) is clean.
Yes, more than 50% cleaner on CO2 emissions and 90% cleaner on NOx, etc., due to higher efficiency and tighter emission standards for power plants vs automobiles. Using average US power generation fleet.
And mining of rare earths for magnets and batteries and the rest of the supply chain?
“An electric car’s higher manufacturing-phase emissions would be paid back in 2 years
of driving with European average grid electricity compared to a typical vehicle.”
https://theicct.org/sites/default/files/publications/EV-life-cycle-GHG_ICCT-Briefing_09022018_vF.pdf
“An electric car’s higher manufacturing-phase emissions would be paid back in 2 years
of driving with European average grid electricity compared to a typical vehicle.”
https://theicct.org/sites/default/files/publications/EV-life-cycle-GHG_ICCT-Briefing_09022018_vF.pdf
Also: “Electricity used in the battery manufacturing process accounts for roughly half of emissions related to battery production, so increased use of renewable energy and more efficient power plants will lead to cleaner batteries.”
Converting coal or natural gas to electricity, charging a Tesla battery with that electricity and the electric engine using that battery power to move the car – is actually at least 3 times as efficient as a standard gas burning engine. Think of it as a regular car getting 130 miles per gallon.
https://www.fueleconomy.gov/feg/noframes/41189.shtml
Nice trade, Kevin.
One thing that seems to be missing on this wonderful blog that I read almost all day long is any coverage of climate change and it’s projected impact. Is this black swan to end all black swans gonna hit the markets like a gargantuan ax or will it chip away at the world’s economies like a chisel?
Most Musk fans (obviously I am one) are fans because they have done a deep dive into why he does what he does – watched his interviews, read about him. Or have experienced a Tesla (yes I have one). Tesla’s mission statement is: “to accelerate the world’s transition to sustainable energy” is not just PR.
I figure most people who read H are smart cause they bother to read him. They found this treasure of a blog on the internet written by someone who has a heck of a lot of knowledge, experience and wisdom. And humor 🙂 And he’s doing this blog cause he enjoys it.
Well, here is another blog, very different, but also worth reading:
https://waitbutwhy.com/2017/03/elon-musk-post-series.html