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CA's Energy Crisis: Flight of Fancy
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[QUOTE]Originally posted by First of Two: [QB] If the plants had not been subject to the (inflated) CO2 regulation, they would have stayed open, the demand for power would have been much lower, thusly the price, deregulated or not, would have been far lower as well. +supply & steady demand = lower prices. steady supply and steady demand = steady prices. -supply & steady demand = higher prices. -supply & +demand = MUCH higher prices = the situation in CA Analogy follows: When the government says "We're not going to regulate how much you sell corn for, but we ARE going to limit the supply you have," of COURSE corn prices go up. BUT... When you can grow AND sell as much corn as you can, corn ends up finding its 'fair market price' because of the higher supply. [/QB][/QUOTE]
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