Thursday, November 17, 2011

THE ILLUSION OF A FREE LUNCH: Simon Moore: Britain's Gas-Price Gamble - WSJ.com

Simon Moore: Britain's Gas-Price Gamble - WSJ.com

Needless to say, any government intervention has consequences. The old law of physics about actions and reactions.

If costs are raised everywhere through higher taxes, there are implications in terms of fewer jobs being created.

People also live less well because everything costs more, salaries don't increase and people have to make do with less.

As people make do with less, the opportunity to create better, newer cities diminishes along with the jobs to build these cities.

As this article says, the less government interference in what people want (electric power) and the way in which the market supplies it (i.e. no subsidies), the better!

In terms of unknowns, it seems as though everyday is bringing more frightening news about the banking and sovereign debt crises - all of which should be laid directly at the feet of governments and their voting blocks that think there is a free government lunch. Clearly there is no such free lunch!

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