chapter  7
4 Pages

Subsidies and Affordability

So, they convened a meeting at EPA for the specific purpose of discussing the “concept of affordability.” Most people who attended the meeting were members of EPA, but a few outsiders, like us, were also invited. These discussions went very well, but there was one gentleman who sat there with his arms folded across his chest, squirming in frustration. Finally, no longer able to contain himself, he blurted out, “In the world of classical economics, there is no such thing as the ‘concept of affordability,’” to which another of the participants gently responded: “Yes, but in the real world, there is no such thing as classical economics.”