Yesterday, I wrote that I had been seeing a great many Tesla cars on the road around here. Less than five hours later (and completely unrelated), the State of Connecticut sent its enforcement people to the Tesla showroom in downtown Greenwich and ordered it shut down. This is the only Tesla showroom in Fairfield County. The stated reason for the shutdown order: under Connecticut law, a car company cannot sell its products directly to the public; it has to used franchised dealers for that. Tesla responded that it doesn't sell cars from the Greenwich showroom; it claims only to demonstrate them so that the cars can be purchased from other locations.
Think about this if you ever wonder why liberal economic "policies" prevent economic growth and the jobs that come with them. There is nothing inherently better if cars are sold through franchised dealers rather than directly to the public. The need for middlemen just drives costs a bit higher and makes cars more expensive. The Tesla solution of having a showroom but actually selling the cars just across the border in New York seems to comply with the law. Of course, the result is that the jobs that would have been in Connecticut get forced into New York. In other words, it's a terrible move by the Democrats in Hartford. And what is their response? They send enforcement agents to close down the showroom in CT so that those jobs too are lost to the state.
I'm sure that there is some reason that Hartford will come up with as to why we need franchised dealers rather than direct sales. The bottom line, however, is that no matter what the reason, the result is the loss of jobs in this state as well as higher prices for local consumers.
Think about this if you ever wonder why liberal economic "policies" prevent economic growth and the jobs that come with them. There is nothing inherently better if cars are sold through franchised dealers rather than directly to the public. The need for middlemen just drives costs a bit higher and makes cars more expensive. The Tesla solution of having a showroom but actually selling the cars just across the border in New York seems to comply with the law. Of course, the result is that the jobs that would have been in Connecticut get forced into New York. In other words, it's a terrible move by the Democrats in Hartford. And what is their response? They send enforcement agents to close down the showroom in CT so that those jobs too are lost to the state.
I'm sure that there is some reason that Hartford will come up with as to why we need franchised dealers rather than direct sales. The bottom line, however, is that no matter what the reason, the result is the loss of jobs in this state as well as higher prices for local consumers.
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