Friday 9 February 2018

LNG: a US success story that tests the laws of economics

LNG: a US success story that tests the laws of economics:

"US Energy Secretary Rick Perry was roundly mocked last summer for suggesting that the US coal industry, a key base for the Trump Administration, could simply start producing more of the highly polluting fuel despite signs demand is stagnating.

“Here’s a little economics lesson: supply and demand,” Mr Perry is reported to have said when visiting a coal-fired power plant in West Virginia. “You put the supply out there and the demand will follow.”

Critics were quick to pile on, arguing that this assertion — known as “Say’s Law” in economics circles — has been proved wrong time and again by markets."



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