Managerial Economics: Applications, Strategy and Tactics 12th Edition by James McGuigan, Charles Moyer, Frederick Harris

Exercise 6

In 2009, 41 percent of all energy consumption in the United States comes fromelectric power generation. Coal provides the preponderant fuel (51 percent), with nuclear power (21 percent) and natural gas (17 percent) providing most of the rest. Renewable energy provides only 9 percent. Recently, T. Boone Pickens proposed converting the trucking fleet in the United States to liquefied natural gas (LNG) and using wind power to replace the missing LNG in electric power production. What issues do you see that must be resolved before the Pickens plan could be adopted