He plays it in the key of C with the cape on the 3rd fret, finger-picking, so relative 
to the capo the chords are as follows:

A                          D
Time is jammed and flying fast
E                             A
Brakes are bad the pot holes rough
                               D
I?m out here running from the past
E                    A
What we had was not enough

F#m                                E
Heard she?s just touched down in Hollywood
D                              E
And her friends all say she?s looking good
A                         D
I saw it coming from the start
E                      A
She?s a moving work of art

But as he picks the A chord he's got his little finger on the fifth fret, relative to 
the capo, and when he picks the D chord he's also covering the D-string on the fourth fret
As he finger-picks he alternates bass notes, from the fifth and fourth string, or 6th 
and 5th where applicable