Biofuel mandates in the U.S. suffer from a high-octane blend of politics and special interest agendas that have corrupted physical science, economic analysis, and the policy prescriptions alike. This is the predictable outcome when process and policy are de-linked from basic economics and marketplace realities. Unintended consequences and distortions always result.
Historian, professor and author Burton Folsom in his book, The Myth of the Robber Barons, makes an important distinction between “market entrepreneurs” and “political entrepreneurs.” Market entrepreneurs compete by utilizing their own funds, resources and private investment in an effort to create and market a superior product. Political entrepreneurs, on the other hand, fund their business models off of government subsidies, federal protections and vote buying.
This is a useful distinction to keep in mind when evaluating the perverse outcomes of the subsidized U.S.…
Continue ReadingMr. Schleede:
I’ve read your position on wind farms and their associated problems with a great interest. Can you tell me when we can expect to receive your solution to the energy situation here in the US?I look forward to your response.
Regards, ______________ Fairfax, VA
Dear Ms. _____:
Thanks for your note. You certainly do flatter me with your expectation that I could produce a “solution to the energy situation here in the US.” (But I suspect that was not your purpose.)
As you may know, U.S. political leaders and government officials at both the federal and state levels — not to mention hundreds of smart people in universities, business and non-profit organizations — have been seeking that solution for at least 35 years.
The U.S. Department of Energy and its predecessors have spent over $150 Billion (2006$) on “energy R&D” and, unfortunately, have little to show for it. …
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