Macroeconomics 13th Edition by William Baumol ,Alan Blinder

Exercise 3

In 1981, when regulations were holding the price of natural gas below its free-market level, then-Congressman Jack Kemp of New York said the following in an interview with The New York Times: "We need to decontrol natural gas, and get production of natural gas up to a higher level so we can bring down the price."15 Evaluate the congressman's statement.