WSJ Article: A High-Speed EV Crash

[OverZealous]

It's easy to take advantage of the subsidies though... Rivian was my 4th $7500 credit.

While this will "only" be our second credit, doesn't this potentially mean it's working as expected? Every time you replace your almost-new EV with new EV, the previous one is getting shifted down the line, bumping someone's even older vehicle. At the end of that train of replacements, there's an old clunker heading to the scrapyard that's no longer kicking out fumes.

So it's likely in a very literal way that each of your purchases is putting to rest a gas vehicle. If the incentive wasn't there, maybe you'd have only been comfortable replacing the vehicle twice or even less often.


At the same time, I don't think that the credit should necessarily be uncapped, but I also think there's a better solution than a hard cap that makes it hard to produce a quality vehicle. I've been imagining a cap that starts fairly high—segmented by vehicle class—and slowly ratchets down to encourage auto makers to get less expensive vehicles out. They could also base it on miles/$ (to avoid compliance vehicles) instead of a simple MSRP, but all of the complexity means it only works as an instant rebate, since you'd never know if you could get the discount or not.

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[Rivianation]

Regardless, in the case of this article, it was short, superficial, leftover information. Click bait. Disappointing coming from the WSJ.

Technically, its WSJ 'Opinion' section, but your point is valid.

 

[Gator42]

Technically, its WSJ 'Opinion' section, but your point is valid.

Funny. I cancelled because there was more news in the opinion section and more opinion in the news section. Not much has changed?

 

[Gator42]

While this will "only" be our second credit, doesn't this potentially mean it's working as expected? Every time you replace your almost-new EV with new EV, the previous one is getting shifted down the line

Be grateful for my castoffs you plebes! Bask in my righteousness as your labors subsidize my new new luxurious family transport!

I kid...but seriously, the web of tax incentives is complicated, and the burdens of a tax rarely fall to the those who are targeted to shoulder the burden...

 

[OverZealous]

Be grateful for my castoffs you plebes! Bask in my righteousness as your labors subsidize my new new luxurious family transport!

I kid...but seriously, the web of tax incentives is complicated, and the burdens of a tax rarely fall to the those who are targeted to shoulder the burden...

I agree completely. Our tax structure is a mess. I’m not really sure how the EV credit would be effective otherwise, though, since there are basically no new EVs that are in the price range of a used car (even before the market went crazy).

I do think the tax credit should just be an instant discount, so anyone can take advantage no matter what their tax level is.

 

[MountainBikeDude]

Here's a better perspective and not hidden behind a paywall. It speaks a bit to Rivians longevity compared to others due to not only cash on hand, but also orders generated thus far.

https://www.barrons.com/amp/articles/rivian-electric-vehicle-start-ups-stock-51652114663

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