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Economics

Are Elon Musk’s Politics Driving Away Tesla’s Customers?

Before 2022, Tesla was known as a leader in building electric cars and a favorite of the eco-conscious. Then CEO Elon Musk bought and transformed Twitter, campaigned with Donald Trump, and spent several controversial months leading DOGE; some longtime Tesla owners found themselves apologizing for his politics. A new Yale working paper sets out to quantify the effect of Musk’s extracurricular activities, and finds that they may have cost Tesla one million sales.

A Tesla with a bumper sticker reading “I bought this before we knew that Elon was crazy."