Cali power crisis

Bob Morris bobmorris at mediaone.net
Sun Apr 8 20:31:31 PDT 2001



>If the shortage has been caused by gaming the system, capping prices will
actually increase supply by bringing generators on line.


>This argument was made a few weeks ago in the New York Times by Paul
Krugman, a probable future winner of the nobel prize in economics, and not exactly a screaming leftist. He said that if the system *wasn't* being presently being gamed, it would violate the laws of economics.

I'm sure it was gamed, probably wasn't very hard to do, and might even have been legal. :->

However, doesn't shutting down my generator help my competition more than me, if he keeps all his going, and thus benefits more from the shortage I created than I myself benefit from it?



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