If you suspect this could be more a long-term effect, then I would like to point out that oil prices don’t have a clear trend: In 2012, oil prices were higher than in 2013; in 2010 oil prices were lower than in 2011.
The bottom line
Do the developments oil price influence car buyers to switch their gas car for an electric? Perhaps to a limited degree, but I think other considerations will govern car buyers to choose an electric car such as the improvement in the car’s performance, tax benefits, environmental concern, relative price to gas cars and more. All the way down on this list you might find gas prices. Therefore, if you consider purchasing shares of electric car such as Tesla Motors Inc (NASDAQ:TSLA), don’t put too much stock on the developments in the oil market.
Lior Cohen has no position in any stocks mentioned. The Motley Fool recommends General Motors Company (NYSE:GM) and Tesla Motors . The Motley Fool owns shares of Tesla Motors Inc (NASDAQ:TSLA).
The article Are Electric Car Sales Affected by Gas Prices? originally appeared on Fool.com.
Lior is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.
Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.