Subsidy = Failure

Obama’s wanting to subsidize so-called ’green’ industries and power generation, made me think about the obvious, and that is: ANY SUBSIDY IS AN ATTEMPT TO RIGHT A FAILURE.  Should this be Stott’s law # 2?  Now, think about all of the subsidies there are.  Subsidies are everywhere!

The first example is at anyone’s home.  Little babies and oldsters cannot make it without help or a subsidy.  You feed and change the diapers of the baby, and teach it to talk, walk, eat, etc.  They can’t do it without help.  Parents give their lives as subsidies to their children, and their parents too, as they reach old age and become helpless.  I am not going to get into the Social Security thing, as it is a mere Ponzi Scheme.

Green power production, in the form of windmills, solar, and even hydro, are simply not cost effective.  They are failures, and cannot produce electricity nearly as cheaply as can a coal powered or natural gas powered plant.  Hydro is cheap?  Maybe, but not if the cost of the dams, maintenance of the dam, generators and turbines are considered.  Most big hydro plants have yet to pay for their cost in electricity profits, even though their flood control has been wonderful.  Bonneville Dam, as an example, costs $10 million a year just to maintain the dam, and the power plant built in 1982, has yet to be paid for with profits.

When a farmer’s field fails and needs a subsidy, he uses fertilizer to subsidize the weakness of it.  When a house needs efficiency, the homeowner adds insulation or storm windows, and stops air leaks.  When a child needs help, parents subsidize them till they get their feet on the ground with a job, or other problems.  When a lawn or field is dry, or is in an area with little rain, water is added to make things grow.  Water is a subsidy.  When we want to read or do an activity at night, we turn on the lights, and when it rains, we turn on the windshield wipers in our cars.  Life is full of subsidies, including our churches, clubs, associations, or political candidates, none of which could make it without our subsidies, or contributions.

Now for the point.  Subsidy is a 100% indication of failure.  All subsidies, regardless of where, when, how, or what, are indications of a failure.  All of our subsidies to children, homes, farms, or whatever, are paid for by the subsidizers, namely you and I, farmers, business people, auto manufacturers, electrical power generation outfits, etc.  They are operated at a profit to supply you, or you take your profits from wages or business and subsidize the church or club out of your pocket…VOLUNTARILY.  This is as it should be.

When government subsidizes something, WITHOUT YOUR PERMISSION, it is still an indication of a failure, only you and I are made to pay for the failures, as Obama wishes, $8 billion for the obvious failures of windmills, solar, hydro, battery powered cars, and even nuclear.  We are made to pay for failures in housing, banking, health, education, governments (wars), old age, and hundreds of things, for which there is a suitable bureaucracy in existence, gobbling up taxes, profits, retirements, and savings.  All of which gobbling up, takes dollars from the marketplace, salaries, business profits, and entrepreneurship, funneling it down the bottomless pit of wasteful, uneconomical, inefficient, government.