Politicians and bureaucrats mask the real cost of producing energy from wind and solar when they; 1) “invest” your tax dollars in wind and solar companies. 2) give tax payer guaranteed loans to these companies. 3) use your tax dollars to subsidize the purchase of this energy.
On the flip side of the coin, they artificially drive up the costs of producing energy from coal, oil, and nuclear through regulations and taxes.
CAN WE RELY ON WIND AND SOLAR ENERGY? by Prager University.
Excerpt from video, “In the entire world there is not one real or proposed independent free standing solar of wind power plant. All of them require backup. And guess what that backup is? Fossil Fuels.”
LOW COST RELIABLE ENERGY FUELS ECONOMIC PROSPERITY.
An economy becomes wealthier when it can produce more while using fewer scarce resources, time, labor and capital. Economies are fueled by energy. If Government continues to force us to use higher cost energy (read here) to power our economy, we are going to be less wealthy and prosperous. The green jobs that are being brought into existence by Government force, aren’t as productive as the jobs that will be lost when the fossil fuel energy sector is forced to shrink. Put another way, these green jobs wouldn’t exist in a free market because the free market always chooses the most productive activities. Less productive activities go away. The cost of these non productive activities will fall on the entrepreneur who made the miscalculation. He will be incentivized to cut his losses sooner rather then later. The incentives in our crony capitalist green energy industry are different. Since the tax payer pays the cost of the failure (read here), the losses will be allowed to go on longer. Resources, time, labor and capital will be wasted as well as tax payer dollars.
When will we quit putting our faith in politicians and bureaucrats when their policies constantly fail to produce their hoped for results. Our current crony capitalist system that weds Government and business isn’t free market capitalism. Our politicians want you to think it’s free market capitalism because they need a straw man to demonize. Once demonized, the only “solution” is more Government intervention. And the outcome of government intervention is the destruction of wealth; because scarce resources are not being allocated to their most productive uses according to consumer demand.
We have to rediscover the truth that moving toward free market capitalism and away from government intervention is the only cure for our economic problems. Free market capitalism has lifted billions of people out of poverty and is the only process that can keep us from stagnating and/or sliding backwards.
Related Article – Unelected EPA Driving Up The Cost Of Food And Energy, at austrianaddict.com.
Related Article – Free Market Fracking Trumps Government Solutions When It Comes To Producing Energy, at austrianaddict.com.
Related Video – The Story of Electricity, 2 minute video by, instituteforenergyresearch.org.
AUSTRIAN ECONOMICS ADDICT 