A Free-Market Energy Blog

Prisoners of Math: Falling into the Resource Fixity/Depletion Imbroglio

By -- May 19, 2009

[Editor note: the current debate over climate policy has obscured another important energy-policy controversy: the notion that the production of hydrocarbons (even coal) has, or will soon, reach a physical peak. This post, like the author’s previous ones on this subject, shed light on the fallacious concept (from a business/economic viewpoint) that mineral supply is fixed and thus depleting.]

The recent death of Patrick McGoohan brings to mind one of the best lessons offered by television, and one ignored by all too many analysts (including academic economists). In an episode of his cult-classic series The Prisoner, McGoohan is confronted with a unique teaching system, wherein “The General” pumps information into villagers while they sleep. The General proves to be a ‘supercomputer’ (presumably less capable than desktops now available) containing all known information.…

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Joseph Romm (Climate Progress): Costs of “Strong Climate Action” Negligible–(But does he understate IPCC’s cost estimate by 95%?)

By Robert Murphy -- May 18, 2009

In a provocative post, Joe Romm argues that even “strong climate action” would be well worth the effort. Yet Romm’s claim that stabilizing atmospheric greenhouse gases at 445–535 ppm (CO2-eq) would cost only “one tenth of a penny on the dollar” (through 2050) understates the IPCC’s actual cost estimate by about 95%. In reality, the IPCC’s reported estimate translates into a mitigation cost of about 2.2 cents on the dollar–far far higher than Romm’s figure. Romm’s mistake has nothing to do with climate science: he simply confuses the rate of growth in income, with income itself.

To make matters worse, even when correctly interpreted, the IPCC estimate significantly understates what the cost will be in practice. The IPCC admits that its estimate is a theoretical textbook case, which assumes all participating countries implement their mitigation policies perfectly, and keep them in force throughout the 21st century.…

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Concerned Citizen vs. DOE on Windpower (can we stop the hype and talk turkey?)

By The Editor -- May 16, 2009

Editor Note: This letter from a U.S. citizen/taxpayer to the U.S. Department of Energy is an example of grass-root opposition to government-dependent windpower. For a previous post along the same lines, see “New York’s Thousand Islands Are Being Ruined” (Letter to Sen. Schumer on the blight of government-dependent windpower).

Dr. Steven Chu
Secretary of Energy
U.S. Department of Energy
1000 Independence Avenue S.W.
Washington, DC 20585

Dear Secretary Chu:

You and other officials of the US Department of Energy should be ashamed of yourselves because:

· Despite thousands of employees and billions in our tax dollars, you have found it necessary to have some low level “energy analyst” from a CONTRACTOR organization reply to an email from a US citizen and taxpayer, and

· The reply was so lacking in substance (see attached) that your contractor (and, presumably, your staff) apparently assumes that citizens and taxpayers outside Washington have no knowledge of DOE programs or the true costs and benefits of wind energy – the subject of my email.

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Mark Mills: Prophet in His Own Time? (Validation of a new era of energy consumption)

By -- May 15, 2009
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Cap-and-Trade: The Temple of Enron (James Hansen makes an important political point)

By Robert Bradley Jr. -- May 14, 2009
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CO2 Cap-and-Trade Meets the (China) Dragon: Why Legislating Trillions of Dollars in Regulatory Costs Would Be Climatically Inconsequential

By Donald Hertzmark -- May 13, 2009
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High/Low: Is There Now Reasonable Agreement on the Costs and Benefits of Waxman-Markey?

By Robert Murphy -- May 12, 2009
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“Dirty” Waxman-Markey: How Small Can Small Get?

By Chip Knappenberger -- May 11, 2009
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Special Note to Our Readers (a record number of you)

By Robert Bradley Jr. -- May 9, 2009
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Joseph Romm and Enron: More for the Record

By Robert Bradley Jr. -- May 8, 2009
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