Oil price decontrol debate: what is the energy crisis

Journal Article · Sun Jul 01 04:00:00 EDT 1979 · Challenge; (United States)

OSTI ID:6106005

Davidson, P

An economist sees the President's oil price decontrol program as a tilt toward the oil industry in the struggle with consumers over income shares. Current supply conditions keep up with inflation so that higher prices will redistribute income and wealth from consumers to producers without increasing supplies. The author recommends an active, all-out economic war with the Persian Gulf States to avoid the permanent drain on consumers that will result from President Carter's passive approach of oil deregulation, which will only stimulate inflation and income transfer. Conservation policies can be based on lowering demand by increasing prices or by shifting the demand curve so that consumers use less oil regardless of price. The latter can be accomplished by breaking the oil cartel or by sharing in the monopoly rents through taxes and the elimination of tax credits. The revenues generated could be used to generate oil substitutes.

• Research Organization: Rutgers Univ., New Brunswick, NJ
• OSTI ID: 6106005
• Journal Information: Challenge; (United States), Journal Name: Challenge; (United States) Vol. 22:3; ISSN CHLGB
• Country of Publication: United States
• Language: English

Related Subjects

02 PETROLEUM
020700 -- Petroleum-- Economics
Industrial
& Business Aspects
29 ENERGY PLANNING, POLICY, AND ECONOMY
290200 -- Energy Planning & Policy-- Economics & Sociology
294002* -- Energy Planning & Policy-- Petroleum
DEREGULATION
ECONOMIC IMPACT
ENERGY POLICY
GOVERNMENT POLICIES
INCOME DISTRIBUTION
INDUSTRY
INFLATION
NORTH AMERICA
PETROLEUM INDUSTRY
PRICES
TAXES
USA