This past Friday, Jack reported on Continental’s decision to remove its ATE Super Blue brake fluid from the market, citing its non-compliance with federal motor vehicle safety standards. Apparently, Super Blue ran afoul of regulations regarding the coloration of brake fluid in motor vehicles. It’s not clear exactly what led Continental to recall the product now after years on the market, but it’s obvious why: blue brake fluid is a no-go according to American regulators. As Jack pointed out, this apparent government overreach has cost consumers another choice that amateur racers in particular found useful. Commenters on that story debated the relative merits of regulating automotive fluid colors, in particular brake fluid. So just how regulated are fluid colors anyway, and do those regulations help or hurt consumers overall?

(Read More…)