Subsidies = Taxes

Which sounds better?

Subsidies and rebates are available to pay for much of the cost of your grid tied PV systems.


If your neighbor installs a PV system on his house we'll make you and the other neighbors pay for most of it via higher taxes and higher electric bills.

Both statements are true and equivalent. The truth is there is no free lunch in this situation. Every dollar in subsidies and rebates is paid for with taxes and electric bill fees we will pay. It's a zero-sum game and creates what economist call "dead weight losses."

The point is that 'subsidies' sound good and 'taxes' sound bad, but they are just different sides of the same coin.

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