Big corporations tend to be very friendly with big government because big government can help them monopolize their market. While this process of monopolization is bad for consumers, neither the government nor the corporations that have allied themselves with it give a damn. For example, solar power has become increasingly viable over the years thanks to cheap solar panels. However, these cheap panels are being produced overseas, where the lack of government restrictions makes it more viable to make cheap products. To compensate domestic solar panel manufacturers for the restrictions it put in place, the Corporate Welfare Commission, sometimes mistakenly referred to as the International Trade Commission (ITC), has ruled that overseas panels are a threat to domestic manufacturers:
On Friday, the International Trade Commission (ITC) sided with bankrupt solar panel manufacturer Suniva, voting 4-0 that cheap imported solar panels and modules have harmed domestic panel manufacturers.
The commission now has until November to send recommendations on remedies to President Trump, who will be responsible for either setting a tariff on imported solar materials or finding some other remedy. Given Trump’s promises to bolster American manufacturing, it’s likely that he’ll favor restrictions on solar panel imports.
I’m sure the ITC will settle on a tariff because the other remedy, removing government created restrictions from domestic manufacturers, is unthinkable. What does this mean for consumers? It means us consumers will be paying more for solar panels. This is a bit ironic since the government dumped so much money into encouraging manufacturers to make solar panels affordable in the first place. But what government giveth, government taketh away. It may favor cheap solar panels today and oppose them tomorrow.