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Elon Musk says Space X and Tesla almost 'died' after narrowly escaping bankruptcy

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www.dailystar.co.uk

SpaceX founder and entrepreneur Elon Musk has revealed the one crucial business decision that saved SpaceX and Tesla. The Canadian business magnate admitted that both his aerospace company SpaceX and vehicle manufacturer Tesla "would have died" if it weren't for wealth tax bands.

Taking to social media app Twitter, the 50-year-old admitted that the only thing standing between bankruptcy and his two businesses was a lax wealth tax law.

Musk had responded to a tweet from James Pethokoukis who had shared an article that claimed Musk's two companies would not have survived had they been left less money after Musk's wealth tax.Pethokoukis said: "If because of a wealth tax Elon Musk had left PayPal with $60 million less, would Tesla and/or SpaceX have made it past 2008?" In his article, Pethokoukis quotes Steven Kaplan, an economist from University of Chicago who ran the numbers on whether Musk's £912 billion ($1.2 trillion) businesses would have survived.

Kaplan said: "Either SpaceX or Tesla would not exist - and I don't think anyone else would have done it."Musk then replied to Pethokoukis' tweet of his article, with the Tesla and SpaceX owner conceding that Kaplan made a "good point".Musk replied, saying: "Good point.

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