[Editor note: Tomorrow, economist Michael Giberson will critically assess government ‘price gouging’ laws.]

As an economist, whenever I hear the word “shortage” I wait for the other shoe to drop. That other shoe is usually “price control.”

– Thomas Sowell, “Electricity Shocks California,” January 11, 2001.

Like Bill Murray’s weatherman character in the movie Groundhog Day, the American public is obliged to relive certain bad ideas again and again (and again).

Like the movie the idea of price controls for energy keeps coming back, but will we, like Murray’s weatherman, reexamine what leads us to relive such unworkable concepts? The latest contestant in this march of folly was posted recently in the Atlantic Monthly’s business blog.

The idea–called a buffer fund–is to establish a target price for retail gasoline (diesel, too, though they seem to have forgotten that part of the fuel supply) and use taxes or subsidies to maintain the target price over time.…

As a political economist of a certain age, I naturally had a certain amount of Marxist writing inflicted on me, and found one particular thought of great insight. In “The 18^th Brumaire of Louis Napoleon,” Marx commented that Hegel noted that history repeats itself, but neglected to mention that the first time was tragedy, and the second time farce. A decade ago, I published “The Farce this Time” about fears of peak oil, but since then, we have experienced another energy ‘crisis’ which has remarkably resembled a commodity price cycle but which, many pundits observe, is ‘different’ this time.…

“… I also know this credit won’t go on forever. It was never meant to, and it shouldn’t…. I have expressed support in the past for a responsible, multi-year phase out of the wind tax credit. But…”

– Senator Charles Grassley (R-Iowa), an original author of the 1992 Production Tax Credit (PTC)

Special government favor has propped up solar power since the 1970s and wind power since the early 1990s. One decade turning into the next, the (not-so) “clean energy” lobby has repeatedly made promises that their technologies are, or soon will be, competitive with electricity generated from natural gas, petroleum, or coal.

Documentation of this failure is well reported here at MasterResource and by the Institute for Energy Research. This particular post reproduces in large part a 2015 piece by the American Energy Alliance (IER), “Wind Fail: 20 Quotes for 30 Years of False Hopes.”…

Ed. Note: This repost is timely given the end of the Investment Tax Credit and the Production Tax Credit for unstarted projects as of July 4, 2026, pursuant to the One Big Beautiful Bill of 2025. For started (‘safe harbor’) projects, it is business-as-usual, which explains why the projects were started in the first place. If an unstarted project is completed by year-end (highly unlikely), it would also receive the ITC and PTC. Tomorrow, the history of wind power tax subsidization is chronicled.

“Nothing is so permanent as a temporary government program.”

– Milton and Rose Friedman, Tyranny of the Status Quo (1983), 115.

Aaron Nichols on LinkedIn provided a history of federal solar tax subsidies, beginning with Jimmy Carter. His point was to show that the numerous extensions (14 by my count) were bipartisan.…