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Pastimes : The California Energy Crisis - Information & Forum -- Ignore unavailable to you. Want to Upgrade?

To: Zeuspaul who wrote (924)	8/23/2001 12:18:36 AM
From: DavesM	Read Replies (1) \| Respond to of 1715

Rationing is used, when government officials wish to keep a scarce commodity inexpensive (or below its true market price) for consumers/citizens. This will work in the short run, but will eventually lead to trading between consumers (low consumers selling part of their share to larger consumers) or a black market. Government mandates are an attempt to help "push" manufacturers and consumers along a path that they are already going. Its an added incentive, a kick in the rear, or accelerator. But when they are made when society is not ready (or aware of the need), they become destabilizing. Electricity really hasn't been rationed in California (so far). This is because of Higher prices, Cooperation, the application of a little force to political/economic pressure points) and education between Government, the Private Sector, and the Consumer. The result is that peak consumption is lower (over 10,000MW) this summer than last in CA. Hopefully this will work as a model for water as well (or maybe past water crisis have prepared Californians for the current electricity crisis). O.K, its cooler too (both economic and temperature wise). Of course, none of this is news to anyone.