Why do washers get more expensive... (September 29, 2007)

...when most technology keeps getting cheaper? The culprit is energy regulations, as described by the Foundation for Economic Education.

The idea is, by making people buy more efficient washing machines, we will save energy, and thus prevent global warming and decrease trade with Evil Countries. On the downside:

1. The people paying the bills for this idea are poorer people who would really rather stick with cheaper appliances. The regulation is meaningless for richer people who already buy the trendy, expensive stuff.
2. Washer makers benefit tremendously, because they now have a captive market. The public is denied, by their own government, from buying the cheap stuff.
3. If people end up running their washing machines twice per load, so that they can get their clothes as clean as before, then we will actually see a net increase of energy usage.

I admit that I believe the minuses are larger than the pluses. Others disagree, but it seems hard to dispute that energy taxes, like Greg Mankiw pushes for, would be better. They would have the same pluses but would eliminate downsides 2 and 3.