The Economist has turned green

The Economist, often seen as the house journal of free market economics, seems to be taking a dim view of the market and a positive view of environmentalism. Its lead comment, on alternative energy, in the current issue (18 November) says “society should rejoice that greenery is in vogue”. In the same article it predicts that many investors will lose substantial money on alternative energy technology.

No doubt it is true that the market is far from perfect and many investors could lose out on green technology – although it is interesting the Economist’s view of the market is so jaded. But the enormous harm that mainstream environmentalist ideas can do to economic growth is entirely missed.