The hottest Subsidies Substack posts right now

The Ingenuity helicopter on Mars completed a successful mission with 72 flights and 11 miles flown.
Americans tend to find protest tactics more acceptable when used for causes they support.
A survey found that many parents do not seek advice from their own parents when their children are young adults.

About 75% of American college students attend public schools, yet out-of-state tuition is significantly higher than in-state tuition, with an average ratio of 3:1.
The significant price gap between in-state and out-of-state tuition is primarily due to massive subsidies by state governments for in-state students, making out-of-state tuition competitive rather than monopolistic.
Despite concerns about high college costs, state governments contribute about two-thirds of the total cost for public colleges through various subsidies, making higher education more socialist than commonly perceived.

Manufacturing boom driven by government handouts may not be sustainable.
Investments in factories are not always beneficial if they are taxpayer-subsidized.
Crony subsidies in manufacturing lead to waste and hinder productive investments.

Some technologies progress faster than others based on factors like standardization, product complexity, manufacturing complexity, barriers to entry, project timeline, and market growth.
The power of standards can accelerate cost reduction in technologies by promoting standardization, streamlining regulatory processes, and fostering international cooperation.
Subsidies are effective for technologies with steep learning curves, like batteries and solar panels, but may not work well for complex or customized technologies like nuclear power or BECCS.

A small company in northern Britain, AMTE, has a significant history in battery technology development.
The US Inflation Reduction Act offers hefty subsidies for manufacturers, causing companies like AMTE to consider relocating production.
The UK faces a challenge in determining its industrial strategy amidst global competition in green technology subsidies.

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Understanding economic analyses of power markets is crucial for applied economics.
Federal subsidies for wind and solar impact wholesale power markets by creating inefficiencies and distorting outcomes.
Tax credits like the PTC/ITC are costly ways to encourage renewable energy generation, and a carbon tax might be more efficient.