Re: Greens add to Greenhouse gasses

Kevin O'Brien <[email protected]> Wed, 28 Nov 2012 10:06:28 -0500
Newsgroups gmane.culture.sf.killerbs
Organization Boskone
Message-ID <[email protected]>
On 11/27/2012 5:18 PM, Dan Minette wrote:
>> "Really cheap power if we bootstrap by building one power satellite and use
> it for propulsion
>> lasers to bring up parts for thousands. "
> With all due respect, Keith, I've been hearing arguments like this for 50
> years.  One thing would help you establish credibility.  Can you point to a
> design of yours that is used worldwide on a massive scale in a major
> industry? No hard feelings, but it sounds like its even less likely than
> earth bound solar cells.
Speaking of solar cells, this article looks interesting:

http://www.news-republic.com/Web/ArticleWeb.aspx?regionid=1&articleid=5336750

A trade war over cheap solar involving Europe and China. That opens up 
several interesting topics. First, this is arguably the most important 
technology of the 21st century since it not only provides energy 
security but also addresses global heating. Second, the U.S. does not 
appear in this story. Third, there is an interesting economic argument. 
The Chinese government is subsidizing their manufacturers which results 
in Chinese solar panels being about 30% cheaper (per the story. I have 
not verified this independently.) From one perspective, you could argue 
that this is great for consumers. China is making everything 30% 
cheaper! Woo hoo! The objection is that this would undermine local 
producers, but that is not as clear a problem as the European 
manufacturers would like to say. For the advantage to be permanent you 
would need either perpetual subsidies by the Chinese government or some 
kind of barrier to entry in the solar panel market that would keep out 
competitors. Economic theory says that potentially the Chinese 
manufacturers could use these subsidies to drive out competitors, and 
when that was accomplished they would just raise prices and enjoy 
monopoly rents. But without the barriers to entry, that cannot happen.

The other solution, if you think that subsidies by one side is a 
problem, is to create counter-subsidies. That might be preferable to a 
trade war, and arguably would help promote a technology we desperately need.

Regards,

-- 
Kevin B. O'Brien
[email protected]
A damsel with a dulcimer in a vision once I saw.