Elon Musk, the founder of PayPal and now the head of electric-car maker Tesla, made a splash yesterday when he called for $10 gasoline to fully account for all the environmental harm associated with fossil fuels.
It was self-serving, of course: Tesla makes expensive electric cars which could only get more attractive if gas prices soar. Though it’s worth noting that Mr. Musk’s sugarplum vision of high gas prices isn’t that much different than the one initially floated—and later retracted—by Energy Secretary Steven Chu. Wall Street Journal
Expensive petrol would suit Mr Musk fine, since his company currently makes the only pure electric car in production. General Motors is trying to catch up with its Chevrolet Volt, a car that will be powered by electricity, with a back-up petrol engine for when the batteries run out.
Incidentally, James Surowiecki suggests (via Felix Salmon) a federal petrol tax that rises when the price of oil falls and vice-versa, to provide stability for consumers and manufacturers.
Mr Musk, a co-founder of PayPal, is nothing if not ambitious and says he has his eye on some of the plants that may be left vacant by the downsizing of Detroit. He was adamant that US companies should follow the example of German car companies such as BMW and Daimler in having engineers at the helm, rather than financial specialists. “You really need the product guys running a product company. The path to the CEO’s office should not be through the CFO’s office; it should be through engineering and design.” Financial Times
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