Energy and the environment: conflict in public policy

Book · Sun Jan 01 04:00:00 EST 1978

OSTI ID:6300211

Mead, W J

The study identified the basic energy-environmental problems from an economics point of view, examining the possibility of market failure, the possibility of monopoly in the oil industry, impact of the crude oil embargo of 1973--1974, and the important shift in the U.S. from long-term expansion of oil and gas production to a new declining trend for both energy sources. The history of government energy policy is explored in detail and, in the major policy areas, it is found that past government policy contributed to what is now called the energy crisis. In view of the failure of past energy policies, one cannot be confident that present energy-environmental problems will be solved by new government policies, Prof. Mead concludes. Major public policy options for the future are examined. This analysis indicates that new subsidies, designed to change the energy-consumption mix and to reduce energy consumption in total, need to be examined in terms of their costs and benefits. New subsidies should be justified before their enactment by a showing of net social benefits. New environmental protection measures should require a prior demonstration that their benefits exceed their costs. Proposed antitrust legislation is reviewed and this endeavor was found to be misdirected. Proposals to expand price controls over oil and gas are reviewed as were suggestions that public utility type controls be imposed on the energy industry. It is concluded that the system of Strategic Petroleum Reserves is economically justified on the basis of obvious externalities in the area of economic stability and national security. (MCW)

• OSTI ID: 6300211
• Country of Publication: United States
• Language: English

Related Subjects

29 ENERGY PLANNING, POLICY, AND ECONOMY
290300 -- Energy Planning & Policy-- Environment
Health
& Safety
293000* -- Energy Planning & Policy-- Policy
Legislation
& Regulation
530200 -- Environmental-Social Aspects of Energy Technologies-- Assessment of Energy Technologies-- (-1989)
ALLOCATIONS
ANTITRUST REVIEW
DECISION MAKING
DOCUMENT TYPES
ECONOMICS
ENERGY CONSUMPTION
ENERGY POLICY
ENERGY SHORTAGES
ENVIRONMENT
ENVIRONMENTAL POLICY
FAILURES
FORECASTING
GOVERNMENT POLICIES
LEGAL ASPECTS
NATIONAL DEFENSE
NATIONAL ENERGY PLAN
NORTH AMERICA
REGULATIONS
RESERVES
RESOURCES
REVIEWS
SECURITY
SOCIAL IMPACT
USA