May 2009

returning to the lessons my generation learned from the 1970s energy crisis. We learned that energy choices favored by politicians but not confirmed by markets are destined to fail. If history has taught us anything it‟s that we should resist the temptation to ask politicians to substitute their judgments for that of the market, and let markets determine how much energy gets used, what types of energy get used, where, how and by whom energy gets used. In truth, no source of energy is perfect, thus only markets can weigh the pros and cons of each source. Government‟s role is to set reasonable standards for environmental performance, and make sure markets work.