Price controls on non-renewable resources: an intertemporal analysis

Journal Article · Sun Jul 01 00:00:00 EDT 1979 · South. Econ. J.; (United States)

DOI:https://doi.org/10.2307/1057012· OSTI ID:6073067

Lee, D R

Static supply and demand analysis is not appropriate when dealing with the impact of price controls on nonrenewable natural resources. The Hotelling model, which considers the intertemporal relationship between supply decisions, is shown to give a wider range of options than limiting the consideration to price controls. A permanent price ceiling is shown to accelerate production and resource exhaustion when the inefficiencies resulting from price controls go beyond supply disincentives to produce an excess of supplies. 7 references.

• Research Organization: Univ. of Colorado, Boulder
• OSTI ID: 6073067
• Journal Information: South. Econ. J.; (United States), Journal Name: South. Econ. J.; (United States) Vol. 46:1; ISSN SECJA
• Country of Publication: United States
• Language: English

Related Subjects

29 ENERGY PLANNING, POLICY, AND ECONOMY
290200 -- Energy Planning & Policy-- Economics & Sociology
290400* -- Energy Planning & Policy-- Energy Resources
ECONOMIC ANALYSIS
ECONOMIC IMPACT
ECONOMICS
PRICES
REGULATIONS
RESOURCE DEVELOPMENT
RESOURCES
SUPPLY AND DEMAND