The longtime chairman of the Cato Institute, William N. Niskanen, passed away last week at age 78. We shared the podium a few times on energy issues, and I admired his Enron project at Cato that resulted in two books, Corporate Aftershock: Lessons from the Collapse of Enron and Other Major Corporations (2003) and After Enron: Lessons for Public Policy (2005).

Like virtually everyone else who knew him, I remember Bill as a scholar and gentleman. He had one tone of voice and reliably imparted insightful logic. He was what I like to call a scholar’s scholar, role model for the rest of us.

Career

William Arthur Niskanen Jr. (1933–2011), born in Bend, Oregon, graduated from Harvard University with a degree in economics in 1954. He earned his economics doctorate in 1962 from the University of Chicago.…

“While political capitalism as an economic system has barely been recognized, the building blocks that form a theoretical foundation for political capitalism are firmly in place and well-accepted. In political science and sociology, the ideas of elite domination and biased pluralism are mainstream concepts that are a fundamental part of political capitalism.”

Political capitalism is an economic and political system in which the economic and political elite cooperate for their mutual benefit. While the essential idea of political capitalism has a long history, it has not been recognized as a distinct economic system.

In part, this is due to the 20th-century vision of economic systems as capitalist, as socialist, or a mixed economy that contains elements of both capitalism and socialism. It has also been due to the frequent vision of government as an institution that acts in the public interest, corrects market failures, and controls the activities of business.…

Jerry Taylor has written a lawyer’s brief for climate alarmism and open-ended forced energy transformation via the tax code. Might he like to demolish his new ideas in a second White Paper–“The Libertarian Case Against ‘The Conservative Case for a Carbon Tax'”? It is in his head and can be put on paper–if his emotions can get out of the way.

The intellectual case for government control of greenhouse gas emissions–the all-in cause of the anti-industrial neo-Malthusians–has always been suspect, not unlike earlier man-versus-earth outcries. But climate alarm has become weaker since its heyday (1988–98) for several reasons.

First, temperature rise has slowed significantly in the last 18 years (the warming “pause” or “hiatus“). Second, sensitivity estimates have been coming down toward long-held “skeptic” levels. Third, “fat tail” extreme-warming scenarios for risk analysis are under  assault. …

“Will Jerry Taylor speak truth to power by frontally questioning that carbon dioxide emissions is an unambiguous negative externality–a global market failure–that government, every government, must address? Or will he speak power to truth by assuming CO2 is a pollutant for which global government (really, an environmental Pope) can provide, as it were, a giant climate safety net.”

In 1998, then climate realist and energy libertarian Jerry Taylor wrote a piece, “Global Warming: The Anatomy of a Debate,” that piggybacked on the late, great Public Choice economist William Niskanen.

Taylor wrote:

The national debate over what to do, if anything, about the increasing concentration of greenhouse gases in the atmosphere has become less a debate about scientific or economic issues than an exercise in political theater. The reason is that the issue of global climate change is pregnant with far-reaching implications for human society and the kind of world our children will live in decades from now.