It’s amazing that we let simplistic economic nonsense stand for so long
If you think the quality of debate about climate change and bushfires is bad, allow me to give you a glimpse into the debate over the link between the supply and demand of fossil fuels and their price. Spoiler alert – according to the Morrison government, increasing the supply of gas pushes gas prices down but increasing the supply of coal doesn’t push coal prices down. Let’s unpack that.
First, we need to talk about “the law of supply and demand”. The vast majority of people – and the vast majority of politicians – have never studied economics, astrophysics or Chinese language. But while most people who haven’t studied Chinese or astrophysics wouldn’t try to teach other people Chinese or astrophysics, Australia is full of politicians and commentators who have never studied economics trying to teach people about economics. It never ends well.
Continue reading...from The Guardian https://ift.tt/2vROArN
via
0 Comments