‘Energy Shortages and Regulatory Failures’ (Deregulation in 1981)
Ed note: The extract below from a Joint Economic Committee Staff Report briefly describes the end of oil price and allocation regulation in 1981, righting one of the worst energy fiascos in U.S. history. This experience has taken price controls off the political table ever since with petroleum, including today with the Iran War. [“President Reagan’s Economic Legacy,” Section C: Energy Shortages and Regulatory Failures]
In the 1970s, OPEC (the Organization of Petroleum Exporting Countries) was temporarily successful in driving up energy prices and hitting consumer wallets worldwide. OPEC’s manipulations of oil supplies were turned into a full-scale energy crisis in the United States because of price controls in energy markets.
Rising oil prices hurt consumers, but long lines at gas stations and shortages of heating oil were the work of bad policy, not of markets.…
The post ‘Energy Shortages and Regulatory Failures’ (Deregulation in 1981) appeared first on Master Resource.
Source: https://www.masterresource.org/bradley/bradley-mention-1981/
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