Comments on: Over-Under http://www.coyoteblog.com/coyote_blog/2009/06/over-under.html Dispatches from a Small Business Mon, 22 Mar 2010 14:09:30 +0000 http://wordpress.org/?v=2.9.2 hourly 1 By: LoneSnark http://www.coyoteblog.com/coyote_blog/2009/06/over-under.html/comment-page-1#comment-20348 LoneSnark Sat, 27 Jun 2009 04:05:36 +0000 http://www.coyoteblog.com/?p=8317#comment-20348 But wait, economically speaking, the coal fired power plant owners face an opportunity cost in that they could sell their carbon credits, and electricity consumers will need to compensate them for that cost. As such, even if you give every electricity producer in the country 100% of their needed carbon credits, they will still raise prices. As such, your explanation falls flat: rates will go up regardless, it is just that every cent will flow to the plant owners. So maybe that is the explanation: when rates go up, they can credibly blame the greedy power companies just by pointing at their profit margins. But wait, economically speaking, the coal fired power plant owners face an opportunity cost in that they could sell their carbon credits, and electricity consumers will need to compensate them for that cost. As such, even if you give every electricity producer in the country 100% of their needed carbon credits, they will still raise prices. As such, your explanation falls flat: rates will go up regardless, it is just that every cent will flow to the plant owners.

So maybe that is the explanation: when rates go up, they can credibly blame the greedy power companies just by pointing at their profit margins.

]]> By: silvermine http://www.coyoteblog.com/coyote_blog/2009/06/over-under.html/comment-page-1#comment-20328 silvermine Fri, 26 Jun 2009 21:29:13 +0000 http://www.coyoteblog.com/?p=8317#comment-20328 Don't forget that once the oil companies raise prices and manage to not deliver, they'll have to nationalize them, too, huh? Don’t forget that once the oil companies raise prices and manage to not deliver, they’ll have to nationalize them, too, huh?

]]> By: Michael http://www.coyoteblog.com/coyote_blog/2009/06/over-under.html/comment-page-1#comment-20325 Michael Fri, 26 Jun 2009 20:38:42 +0000 http://www.coyoteblog.com/?p=8317#comment-20325 This is just the other half of the car companies take over. They need gas over $5 a gallon to get people to buy the "new" GM cars. Washington is now just a bunch of bullies forcing the American people to doing something against their will solely to stroke the ego of "The Elected." This is just the other half of the car companies take over. They need gas over $5 a gallon to get people to buy the “new” GM cars. Washington is now just a bunch of bullies forcing the American people to doing something against their will solely to stroke the ego of “The Elected.”

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