President Bush has joined the chorus of lawmakers suggesting that recent price spikes and supply shortages are the work of market “manipulation.” However, the action he took today indicates that he understands the extent to which environmental regulation is responsible.
Category Archives: Energy
We recently noted James Hamilton’s post (“Rising gas prices: whom should we blame this time?”) on the recent increase in gasoline prices. According to Hamilton, this increase may be primarily attributable to regulatory requirements.
We previously noted that Sen. Arlen Specter (R-PA) had made comments favorably disposed toward a “windfall-profits” tax and changes in U.S. antitrust laws, both of which are said to be tools for reducing the retail price of gasoline. Sen. Specter is the primary sponsor of a bill (S. 2557) styled as the “Oil and Gas Industry Antitrust Act of 2006.” The bill is dated April 6, 2006, and thus preceded the recent increase in retail gasoline prices that Sen. Specter referred to during his April 23 appearance on CNN’s Late Edition.