Remember the Public Utility Holding Company Act of 1935? I don’t either. It barred utility holding companies from using profits from their regulated business activities in unregulated businesses. It was a move after the Depression when 53 utility holding companies went bankrupt and 23 had bank loan defaults. Senate just repealed the law and China bought Unocal. Hilarity ensues:
If, short of war, the Chinese simply want to stall our national economy a little, couldn’t they take a lesson from the California electricity crisis in 2000-2001, from which California, the fifth largest economy in the world, is still struggling to recover, by withholding their generation from the "market?"