 LegoPower77AbecedarianPremium
join:2002-08-03
Midlothian, VA | reply to alanhdsl
Re: Will the data show regulation the way to go? I'm for prices reflecting reality. Regulation tends to mute the price function and therefor leads to waste.
In the case of electricity (and everything else for that matter), when people don't confront the full cost, they will waste it. Higher prices give incentive to conserve. High prices in a regulatory regime probably will not translate down to the consumer, but someone still has to pay for it. Can the government just arbitrarily set a price and have it be so?
If it's a choice between supply and demand, buyers and sellers setting the price or a politically-connected regulatory board setting them, I'll take the former even if that means high prices happen sometimes.
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"It is a melancholy reflection that liberty should be equally exposed to danger whether the government have too much or too little power."—James Madison
It's right, it's free. |
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| Can the government just arbitrarily set a price and have it be so?
Kind of, but if they do on a federal level, it will indeed be swallowed in debt and never accounted for with taxes, subsidies or bonds.
That is why such regulatory price functions are best left to local governments and the private industry together. Both have more direct finance accountability than the feds. |
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