These shocks produced and immediate and strong regulatory reaction by US policy makers. More new regulations were instituted for energy markets in the 1970s than for any other product in the economy.
How effective was this upsurge in energy policy? MacAvoy, a former member of the Council of Economic Advisers, examines these regulations and policies: their goals, their implementation, their success, and their costs to the economy.
Strictly a specialized analysis - from a respected source - of the effects of 1970s government energy policies. Yale economist MacAvoy has written on energy-price mechanisms and government regulatory problems since the 1960s; he also contributed (while at MIT) to the important 1974 MIT Energy Self-Sufficiency Study. But the problem with his book, for non-specialists, is that it argues - in eye-glazing, repetitive official report-ese - what Storbaugh and Yergin's Energy Future (Rev. ed.) puts in a few cogent paragraphs: "price-control responses to supply scarcity worsened market conditions for all concerned." MacAvoy, it is true, offers a detailed analysis of the phenomenon, Act by Act and regulation by regulation, also contrasting normal- and short-supply periods. His extensive discussion of natural gas policy looks beyond the present supply/demand equilibrium to excess demand "just as price controls are supposed to be phased out. . . in 1985." He also links deteriorating service by the electric and gas companies to their "regulatory problems" - higher costs, insufficient price increases - and, finally, decries the regulations that deter the electric utilities from shifting to coal. MacAvoy's analysis, indeed, takes on a distinctly pro-business, supply-side cast before it's through - as contrasted with Storbaugh and Yergin's public-service, no-miracle-solution orientation. (Kirkus Reviews)
Series: Economic Analysis
Audience: Tertiary; University or College
Number Of Pages: 224
Published: 17th September 1983
Publisher: WW Norton & Co
Country of Publication: US
Dimensions (cm): 21.1 x 14.0 x 1.8
Weight (kg): 0.28
Edition Number: 1