Tuesday, August 8, 2017

Why I can't buy a Tesla

Well, besides not being able to afford one.

Because the state of Texas does not allow Tesla to sell me one. Reason TV documents this form of auto dealer protectionism. Tesla has chosen to only sell direct to consumer, or has vertically integrated into retailing. The state of Texas prohibits automobile sales that do not go through a dealer, or they require manufacturers to outsource the retailing function. It is hard to imagine how this regulation benefits consumers. Don't let Bubba tell you that Texas is a bastion of free markets.

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