On Feb 21, 11:26=EF=BF=BDpm, websu...@cox.net wrote:
> On Feb 21, 10:53 am, "Roger Shoaf" wrote:
>
> > Stop this kind of thinking. =A0Overpriced electricity is bad as it swee=
ps over
> > the entire economy depriving society as a whole. =A0Conversly cheap ene=
rgy
> > benefits everyone for the same reason.
>
> I respectfully but strongly disagree.
> As with any other resource, one that is priced cheaply is never used
> sparingly.
> Whether it is too cheap or too expensive depends on the point of
> view. =A0Most electricity is generated by burning coal or oil or through
> "burning" of nuclear resources. =A0These are non-replenishable, and are
> rapidly diminishing. =A0They also generate waste concerns. =A0None of this
> is new.
>
> Conservation will stretch the resources until alternatives are more
> effective. =A0Those alternatives will not be economically viable until
> the fossil resources are relatively expensive. =A0The ripple effects in
> the economy caused by gradually but deliberately increasing the cost
> of electricity and other energy forms are nothing compared to the
> effect if we get to the end of the resource barrel rather abruptly.
I agree. Especially if you rebate the costs/ taxes to people through
other channels, such as here in US reducing SS payroll tax and using
much of the energy taxes to replace it. If you have a publicly stated
long term plan of gradually raising fossil fuel taxes, people/
businesses will adjust their perspectives and plan accordingly. One
other detail I advocate is a 'smoothing' of final prices by adusting
tax level up or down according to a moving average of market price.
Stable, predictable prices would help longer term planning/ investment.
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