“Intermittent generation may be consistent with a liberalized market, as long as generators are required to bear all the direct and indirect costs of their production. Otherwise, competition is doomed to become an irrelevant feature of a system that becomes more and more politically driven.”
Can an intermittent source be integrated into a liberalized electricity market?
Yes, it is technically feasible, but no otherwise. If subsidies enter into play, intermittent generation might undermine the very design of the market. This is what happened in Italy with the boom of solar power, which last year alone skyrocketed from 3.47 GW to 12.75 GW, with the annual cost of subsidies increasing from 800 million euro in 2010 to 3.9 billion euro in 2011 (about $975 million to $4.75 billion at today’s exchange rate).…
Continue Reading“Even in flush economic times, carbon taxes would be bad policy. When economies are already laboring under too much spending and are at diminishing-return levels of taxation, implementing a carbon tax would be a mistake.”
– Kenneth Green, Dissecting the Carbon Tax, The American, July 13, 2012.
Open-mindedness is a mark of scholarship. And some great lights of classical-liberal social thought in the 20th century changed their minds for theoretical/empirical reasons from a utilitarian perspective.
F. A. Hayek began as a democratic socialist. Milton Friedman started as a FDR New Dealer and Keynesian. [1] Friedman later in life even moved away from his (naive) view of a fixed-monetary rule where, as he once put it, a computer program could manage the money supply. [2] Turns out that ‘money supply’ is not a fixed, known quantity; turns out that money is a government monopoly subject to politics.…
Continue Reading“When I attended the United Nations climate summit in Copenhagen in 2009, the most common sign I saw carried by the 40,000-plus protesters in the streets (of whom the two largest groups were the International Socialist Youth Movement and the Community Party) said, ‘System change, not climate change’—i.e., give us global socialism, not global free markets!”
If you believe global warming is cyclical and mostly natural; human contribution is minor and not dangerous; and attempting to prevent human influence by cuts in carbon-dioxide emissions would cost trillions of dollars, trap billions of people in developing countries in poverty, and so do more harm than good, then you must be armed and prepared to act in our political times.
President Barack Obama, indeed, has warned us by saying that “the most important policy he could address in his second term is climate change.”…
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New Science Endangers EPA’s “Endangerment Finding"
By Chip Knappenberger -- July 12, 2012