He wants long term value from extra government spending, and the best he comes up with is better energy transmission, meaning smart grid. What does Andrew know about smart grids? Dunno, nor would I look through the archives of an economist looking for answers. The guy is a political junkie.
If Andrew believed in smart grids then he would quit Capital Gains and Games and write a blog about smart grids. The fact is he hasn't, he is just repeating some Keynesian mantra.
As an energy junkie what is it abut smart grids that help? only one thing real time pricing of electricity. No infrastructure needed, a plug in measuring device is sufficient. The real problem are Keynesians in government, like Jerry Brown, Gray Davis and Pete Wilson constantly controlling the price of energy. Until you run these fools out of office, nothing will happen with real time energy pricing.
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