Extreme gasoline subsidies lead to extreme gasoline consumption. Since reading Catherine’s post last week (link here), I have been thinking a lot about Venezuela’s gasoline subsidies. Venezuela has the cheapest … Continue Reading Venezuelan Gas Guzzlers
Tightening fuel economy standards for new vehicles leads older vehicles to stay in the fleet longer. Last August the Obama administration announced new fuel economy standards. Cars and trucks sold in … Continue Reading Fuel Economy Standards and Used Cars
Renters are much less likely than homeowners to have energy-efficient appliances. (This blog post co-authored by David I. Levine). When people own a home or condominium, they have incentives to … Continue Reading Renting Inefficiency
Mexico is experiencing 50%+ curtailments of natural gas, a direct consequence of price controls. Whereas in the United States there are thousands of natural gas producers, in Mexico there is … Continue Reading Natural Gas Shortages in Mexico
Scale economies and spillovers provide economic rationale for Federal regulation of oil and gas drilling. Last week Mitt Romney released a new energy plan (available here). The plan includes a … Continue Reading Optimal Federalism
Current bonding requirements insufficient for environmental risks from hydraulic fracturing. Hydraulic fracturing and other recent technological advances have dramatically increased the availability of natural gas, providing large benefits to the U.S. … Continue Reading Bonding Requirements for Natural Gas Producers
Ex post analysis of Mexico energy-efficiency program shows energy savings much smaller than predicted. Supporters of energy-efficiency policies argue that they are a “win-win”, helping to reduce energy expenditures while … Continue Reading Free Lunch?