News for hackers. Stuff that matters.

A comment on Day ahead electricity prices for EU. Parent comment

Re:Day ahead electricity prices for EU by dkjaudyeqooe on Saturday August 27, 2022 @06:14PM (#32623775)
Hardly. Merit Order is just a particular way of setting the price similar to an auction, it still creates a normal(ish) market for electricity and demand and supply still largely determine the price, albeit not in the exact same way as a completely free market.

Saying that price is "determined by the most expensive producer" without further context is still wrong.

[ Parent | on HN ]
Re:Day ahead electricity prices for EU by ClumsyPilot on Saturday August 27, 2022 @11:25PM (#32625480)
> a completely free market

Is a 'completely free market' if not a spherical cow in a vacuum on a frictionless surface i.e. a purely theoretical concept that can never exist in real life?

Presumably a 'completely free market' allows cartells, bribes are not illegal, and there is no authority to throw me in jail if I lie about my product? So either it would collapse into a cesspool of fraud, or you have to introduce rules and then it's not free any more?

[ Parent | on HN ]