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Environmental and energy policy issues

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Environmental and energy policy issues may not be on the front burner for the 1996 presidential elections - they represent a veritable minefield of dangerous issues - but they will play an important role in the shaping of the United States economy in the immediate years to come. They already are: the sudden upswing in gasoline prices this spring has the candidates scurrying for cover. It is populist politics time. President Bill Clinton is announcing intentions of repealing a 4((/gallon tax increase that he signed into law as a compromise in 1993; presidential hopeful Senator Majority Leader Bob Dole is attempting to deny the 10(/gallon increase he had proposed in '93 - and reposition himself on the side of decreasing taxation as well. Neither leader is speaking in terms of policy; both are practicing "reactive" politics. They are also practicing inappropriate, short-run economics: demand for gasoline is relatively inelastic in the short-run (Howe & Rasmussen, pp. 19-20). The changes proposed in Washington, then, will not appreciably affect the immediate problem - and, if there is a long-run decrease in gasoline prices, it will be for reasons related to decrease in demand, a natural market force relationship, and not a cosmetic tax cut (Howe & Rasmussen, p. 25). Nevertheless, this situation illustrates the point of this brief essay: for the United States to grow as an economy, comprehensive and long-run programs must be established and pursued regarding energy, envi

. . .
blems by legal precedent and public relations. Since most states were established from federal territories, use that as a "first privilege" legal position to assert federal preeminence over resource rights. As a matter of public relations/public participation in the process, present the issue in terms of "community rights". The third component of the energy resource triad is distribution. In this sphere of activity, once again, the government is a major participant, albeit often in regional "competitions" with the private sector and/or other government entities (Cicchetti & Sepetys, Restructuring, p. 118). This writer would argue that the federal government must assert regulatory control over distribution - but not attempt to usurp the rights to the distribution entities themselves. Competition is a healthy business practice in this sphere of energy resource activity. Indeed, it will be the contention of this writer that competition must be encouraged in all three components of the energy resource triad: generation, transmission, distribution. In fact, the reason for the aforementioned policy of asserting federal rights/jurisdiction over them all is so that an orderly and comprehensive program of deregulation and transi
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Approximate Word count = 1470
Approximate Pages = 6 (250 words per page)

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