Dividends and Reignited feud with Trump could hurt Musk’s companies

In a democracy, while the holder of the President has many agendas some will benefit the corporate sector and some will not. In a democracy, the President has to appeal to a wide variety of people and the message will appeal to some and not appeal to others, ideally at the end of the day most people will like what the President has done or tried to do. Along the way, people will offer judgement and given the presence of social media, likely putting their thoughts on line.

in an article by Michelle Chapman of the Associated Press, a great example is Elon Musk feud with President Trump. Elon Mushk may find out what happens when DOGE bites man.

Mr. Musk invested his money into a PAC and helped President Trump win the election. The President then put Mr. Musk into a powerful position, slashing government spending or DOGE. Mr. Musk recently left the government and is feuding with the President.

President Trump for his part, recently said DOGE is the monster that might have to go back and eat Elon. Mr. Musk threatened to reinsert himself into politics and try to oust every member of Congress who votes for the bill.

Mr. Musk’s rocket and satellite company, Space X is in President’s Trump crosshairs. Space X has received billions of federal dollars to do work for NASA.

Tesla, the electric car company owned by Mr. Musk has received millions of dollars in government subsidies. Some or many of the subsidies maybe cut by the HR 1, because the President does not like green energy.

In addition, many federal government departments have an interest in Mr. Musk’s companies including the National Highway Traffic Safety Administration, if desired, the government can over regulate the company.

Linking to dividend paying stocks, many of these companies have public relations department particularly to ensure when the company disagrees with the government, the message is toned down and in a manner which stresses co-operation is possible or working together we are better which ruffles fewer feathers. In private, companies say different things. Governments have resources and ability to slow thing down for companies, it is always best to work with them.

There are more questions than answers, till the next time – to raising questions.

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