A Victim of the Climate Wars: A Warning from the U.K.

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Shell’s decision to pull out of the Cambo North Sea oilfield-development project in early December — which could have also provided enough natural gas for 1.5 million homes for a year — may not seem like something that should concern Americans. Check a little more closely, though, and this grim tale begins to look a lot like an example of how our own oil and gas production is going to be — or is already starting to be — constrained, not necessarily by legislation but by a combination of regulatory overreach, activist agitation, and the increasingly malevolent influence of financial institutions. Many of those in the last group on that list are major institutional investors out to advance a socio-political agenda unconnected, whatever they may claim, to the generation of financial return for their clients. This agenda is often sold under the guise of “socially responsible investing” (SRI), and particularly these days, as “ESG,” a peculiarly virulent variant of SRI under which actual or prospective investments are not only assessed for the money they might make but also for how they score against certain environmental, social, and, much more reasonably, governance benchmarks.

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Charles the Climate Prince

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At a time when the monarch, James I, “the wisest fool in Christendom,” believed in the divine right of kings, it was perhaps tactless of the English jurist John Selden (1584–1654) to write:

A king is a thing men have made for their own sakes, for quietness’ sake. Just as in a family one man is appointed to buy the meat . . .

Commentary such as this meant that Selden spent a short time in the Tower of London. Nevertheless, he lived long enough to see James’s son, Charles, being found surplus to requirements.

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Climate, Democracy, and Other People’s Money

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Reconciling the climate warriors’ agenda with either free markets or basic democratic accountability is not — how to put this — straightforward. Those attending the COP-26 conference now under way in Scotland are not trying that hard to conceal this unpleasant reality. Of course, so far as the d-word is concerned, current circumstances mean that such an exercise would be even more difficult than usual. As the Wall Street Journal’s Joseph Sternberg observed…

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Ida’s Reminder That Climate Policy Should Be Built on Resilience, Not Delusion

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I was infinitely more fortunate than many, many people, but my Wednesday evening still did not go entirely as planned. I emerged from a cinema to find a downpour, the subway down, and that cabs were nowhere to be seen. Passing on the chance to join a sodden group sheltering in an ATM zone, I trudged the 25 or so blocks home, thinking about . . . infrastructure.

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‘Stakeholder Capitalism’ a Sham? Unfortunately Not

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A week or so ago, Lucian A. Bebchuk and Roberto Tallarita wrote an article for the Wall Street Journal in which they complained that the notorious (my description, not theirs) redefinition of the purpose of a corporation contained in a statement by the Business Roundtable (BRT) in August 2019 was something of a sham. By introducing the new definition, the BRT abandoned its earlier support for shareholder primacy — the idea that a company should be run, above all, for the benefit, shockingly, of the shareholders who own it — in favor of the assertion that a company should be managed in a way that takes proper account of the interests of various “stakeholders” of which shareholders were only one category.

Despite this, Bebchuk and Tallarita maintained that very little had really changed…

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Afghanistan’s Coming Economic Collapse — and What It Could Mean

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No government — particularly one with only a shaky claim to legitimacy, none of it democratic — will ever enjoy a sudden drop in its country’s standard of living. That is something the Taliban may shortly discover as they try to consolidate their hold over a society famously fragmented along ethnic lines. Terror reinforced by purloined American weaponry may work, at least for a while. And yes, the universalist pretensions of the Taliban’s Islamism will win over some hearts and minds, as will the order, however harsh, that their form of Sharia brings with it. Nevertheless, if the Taliban, a movement still strongest in its Pashtun heartland, come into too abrasive a conflict with the traditional loyalties of other Afghans to their kith, kin, and tribe, they may struggle.

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The Damage Won’t Be Contained to Afghanistan

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It’s obvious — if not necessarily to the Biden administration — that the success of a nation’s foreign policy depends, in part, on its ability to shape the way in which it is seen abroad. The U.S. was able to ensure the survival of West Berlin — a highly vulnerable exclave — throughout the Cold War in no small part because the Kremlin could never be certain how fiercely America would react if the Soviets attempted to take over the western half of that divided city by force. The Berlin Airlift was an early and remarkable display of support, but the dispatch at the same time of three B-29 bomber groups, which may or may not have been in a position to initiate a nuclear strike, to the U.K. may also have helped persuade Stalin to take things no further. To work, deterrence must be credible. The American, British, and French troops stationed in West Berlin for decades were no more than a tripwire, but Moscow could only speculate about what would follow from triggering it. It never took the risk.

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Private Sub-Orbital Spaceflight, Hell Yeah!

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So, first Richard Branson and now Jeff Bezos have made their quick joyrides into space (or its neighborhood: in Branson’s case, it depends on whom you ask) and, critically, back. The flights were a victory lap of sorts for science, human ingenuity, and immense entrepreneurial drive. Not everyone was pleased.

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Democracy Dies in Regulators’ Offices: The SEC, Regulatory Creep, ESG, and ‘Climate’

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This isn’t the first time that I have written about regulatory creep, and it won’t be the last. Lacking the legislative majorities required to push through much of his agenda, Joe Biden is turning to regulators for help. His won’t be the first White House to rely on unelected bureaucrats in this way, but one — how to put this — distinctive aspect of the Biden approach is the way that regulators are, with, presumably, the administration’s connivance, extending their mandates to places they were never intended to go. It’s not pretty, but as a device to bypass the democratic process it can be startlingly effective

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