Electric Power Deregulation in Texas: The History of a Bad Idea

When it costs $900 to fill up a Tesla, something is broke.

MIT economists Paul Joskow and Richard Schmalensee recollect their surprise when they were approached by two economists of the then-new Reagan administration in 1981.

Joskow and Schmalensee shouldn’t have been all that surprised. Deregulation was is the air, and they were…