The Forces that Will Impact the American Economy and Therefore, the Land Market in 2019 – Week 12

Energy Market:


Inexpensive electricity is a strong economic advantage for the USA. Most of the new electrical production has been via natural gas. The natural gas supplies in the United States are huge.

What is lacking are the pipelines to move that natural gas to where it can be consumed to benefit our economy.

The cost of electricity, however, is increasing because of government subsidies forcing companies to generate electricity using solar and wind power. One recent article highlighted how the cost of generating electricity by solar and wind can be as much as 10 times the cost of generating electricity via natural gas.

Tax subsidies are not free, they are paid by the taxpayer. The country in this world that has made the greatest commitment to solar electrical generation is Germany. Germany’s electrical costs are the highest in the world by several times. That cost is now negatively impacting their economy.

The question no one is asking is, “why are we Americans squandering our economic advantage of inexpensive electricity in a competitive global economy”?