Nobel economist Paul Krugman says Elon Musk's bizarre Twitter antics and 'lack of impulse control' have accelerated Tesla's inevitable demise as a market leader
— but the company was already on the path for its inevitable demise as a market leader, Krugman said, due to the economics of the electric-vehicle space. EV companies have been hit hard amid the Fed's rate hikes, which have cut off the liquidity that allowed tech and other growth stocks to flourish over the past decade.
That suggests Tesla is unlikely to see long-term profits to justify its stock price and was probably headed for a fall eventually,"even if Musk had been who his fans imagined him to be," Krugman added. "But Musk might have been able to postpone the day of reckoning, at least for a while, if he had managed to hide who he was from his best customers a little longer."
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