"Ironically", one of the industry's attractions to...

2009-11-07T12:45:29.577-05:00

"Ironically", one of the industry's attractions to electric vehicles, is that they have so few moving parts.

The only units that wear out (in the simpler economy units) are the electric motors, brakes, batteries and tires, which are relatively simple to swap out.

There is no tuneups, no oil changes, no radiators to be replaced, no timing belts, much simpler gearing, no head gaskets.

The ratio between ownership/capital costs and operating costs shift much further than even currently to the capital side.

In the states, the cost to use a $15,000 car is 80% ownership costs (loan payment + insurance + taxes), and 20% operating (repairs and fuel).

In electric vehicles the costs shift to 95% capital and 5% operating.

As such, the introduction of electric cars result in permanently less employment, and more capital concentration as income is less from work, and more from capital asset construction and financing.

On the plus side, electric motors deliver 2-3 times the efficiency in converting fuel to motion.

Another down side, is that although electric vehicles result in less local emissions, they export the consequences of emissions to near the power plant, usually less expensive real estate and homes to usually poorer people.

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"Ironically", one of the industry's attractions to...