Why do we need to worry about producer surplus just as much as we do consumer surplus? There are many reasons, one of which is that some producers make some pretty cool stuff. The economic downturn is really slowing the advance of green energy in places that are most able to expand it, because companies are suffering. From the New York Times (link):
“I thought if there was any industry that was bulletproof, it was that industry,” said Rich Mattern, the mayor of West Fargo, N.D., where DMI Industries of Fargo operates a plant that makes towers for wind turbines. Though the flat Dakotas are among the best places in the world for wind farms, DMI recently announced a cut of about 20 percent of its work force because of falling sales.