Miran Confirmed, Cook Stays: Why the Fed’s Political Theater Shows Markets Should Set Rates

"Price controls don’t work. We’d never tolerate a government committee deciding the price of beef, cars, or Bitcoin. Why do we accept twelve officials setting the most important price in capitalism—the interest rate? Prices are signals. They convey information about scarcity, preferences, and risk. Suppress them, and you suppress the information markets need to function."

Why is there precious little attention paid to the fact that we use price controls in the electricity sector and have done so for more than a century. Price signals are muddied at best as is the information they should convey. Today when electricity demand is soaring and electricity underpins more and more of the economy, the lack of true price signals is a bigger problem than ever. "Consumer Regulated Electricity" (CRE) would allow the market to find the prices through competition for customers. CRE would do that by allowing the creation of new, independent, and large scale utilities that would go out and compete for customers.

https://vanceginn.substack.com/p/miran-confirmed-cook-stays-why-the