Trump Planning a Bailout for Coal and Nuclear Power Plants?

Trump Planning a Bailout for Coal and Nuclear Power Plants?

               It is known that when it comes to the market, the government should not be involved. In fact, the whole idea of the United States being a capitalistic country depends on this rule. However, in Washington, the Trump administration's Energy Department came up with a proposal to "shore up" coal-fired and nuclear power plants across the nation. This, of course, was responded with a wide array of objections and protests by a variety of groups. These groups include oil and gas companies, wind and solar power producers, some public utilities, electricity consumers and environmentalists. Ironically, most of these groups are usually found on opposite sides of arguments, however all seem to be on the same side of this one: no hurting the competitive market. Mr. Perry responds with: "Overregulation and over-subsidization in many areas have distorted the market. We're trying to get the market back in balance." Nevertheless, many don't believe it is the government's job to do so. Executive vice president of the petroleum group, Marty Durbin, comments: "Competition in power generation over the past 25 years has brought enormous benefits to the consumers. We've got to let the markets continue to be the driver."

               Why does this pose such a problem? Why are people so upset about this potential bailout? There are two ways to answer. First, there is a question of innovation and progress. With Trump's help to the Coal and Nuclear Power Plants, this prevents the country from moving forward onto newer and better things such as alternative energies. Second, the competitive market weeds out businesses who are too unstable or ill-developed in their field. If the government proceeds with its plan in order to "stabilize the market" then the benefits from the competitive market would be lost. As such, we see that the government is leaning towards helping the seller more then the buyer.

               However, we cannot deny looking at the point of view of the Trump administration. They believe this to be quite beneficiary since helping a business means the workers keeping their jobs which won't make the rate of unemployment plummet more than it already has. In a way it helps the economy, nevertheless what does it say about the government? Is it unwilling to progress into tomorrow's energy generation?