Ed. Note: Four years ago, Storm Uri caused Texas’s centrally planned wholesale electricity market (ERCOT) to buckle, vindicating warnings about the state’s wind/solar reliance. The mainstream media implicated natural gas instead, failing to explore the why behind the why. Rather than deregulation, Texas has chosen to add wind, solar, and batteries, while subsidizing natural gas plants to counter intermittency. This duplicated grid is now driving rates up in a state that could have relied on surplus natural gas instead.

It was not so much the story of freak weather triggering a market failure writ large. It was a classic application of the political economy of government intervention: the seen and the unseen, expert/regulatory failure, and unintended consequences.

Don Lavoie, a preeminent thinker in the field of market-versus-government planning, once warned:

If the guiding agency is less knowledgeable than the system it is trying to guide—and even worse, if its actions necessarily result in further undesired consequences in the working of that system—then what is going on is not planning at all but, rather, blind interference by some agents with the plans of others.”

Ed. note: The loss of impartial intellectual inquiry and scholarship at Harvard University continues, as indicated by an upcoming article in Harvard Environmental Law Review, Vol. 48, No. 1, 2024, “Climate Homicide: Prosecuting Big Oil For Climate Deaths.” Given this trend, the contributions of a pioneering Harvard business historian, who also broke through the ranks of a male-only faculty, are worth revisiting.

“What we have done is … to put business in its broader political and cultural setting…. We are not out to defend business, but to try to do an impartial, scholarly investigation of an important American institution.”

 – Henrietta Larson (1894–1983), Harvard business historian

For many decades, corporate histories were dominated by simplistic notions of big-is-bad and capitalist exploitation. Ida Tarbell documented many innovations and economies from John D.…

“What we have done is … to put business in its broader political and cultural setting…. We are not out to defend business, but to try to do an impartial, scholarly investigation of an important American institution.”

 – Henrietta Larson (1894–1983), Harvard business historian

For many decades, corporate histories were dominated by simplistic notions of big-is-bad and capitalist exploitation. Yes, Ida Tarbell documented many innovations and economies from John D. Rockefeller’s Standard Oil Trust, but she jumped to examples to paint the Standard Trust as ultimately evil in its exploitation of competitors.

Much “Robber Baron” history followed in the decades after Tarbell, failing to comprehend the advantages of industrialization and to differentiate free-market entrepreneurship on the one hand from corporate/government cronyism on the other. As Harvard business historian Thomas McCraw would later explain:

Without the benefit of a vocabulary that distinguished conceptually between center and peripheral firms, productive and allocative efficiency, vertical and horizontal integration, economies of scale and transaction cost, these observers had only their personal sensibilities and political ideologies to guide them.

MasterResource, which turned four last month, recorded its best quarter in history with 116,877 views, a 20 percent increase from 4Q-2011. We reached as high as #7 of 9,984 “green blogs” tracked by Technorati in the quarter and currently stand at #40.

With one in-depth post per workday, with occasional weekend fare, MasterResource is the leading voice for free-market, science-of-liberty thought in energy and related environmental issues.

MasterResource features many different writers, some academics, some think-tank analysts, and others citizen-activists.  Some areas of emphasis and impact may be mentioned.

Inconvenient Truths of Industrial Wind

Literally dozens of our writers have made MasterResource a leader of the windpower educational movement.  Turning wind into electricity is wholly government-enabled; even NIMBYSM that might be criticized in other contexts is justified given that government mandates and special, outsized subsidies enables the rural invasion of wind machinery.…