Russia now supplies virtually all of the natural gas used by the citizens of many European nations,

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Russia now supplies virtually all of the natural gas used by the citizens of many European nations, and sales of natural gas and other fossil fuels account for fully 10 percent of the national income of Russia. Suppose that technological change substantially reduces the costs of shipping natural gas from the United States to Europe. Analyze the economic impacts (on Russia and on those dependent on Russian natural gas) of this technological change. Would American consumers of natural gas be made better off or worse off by the technological change?

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The Economics of Public Issues

ISBN: 978-0134018973

19th edition

Authors: Roger LeRoy Miller, Daniel K. Benjamin, Douglass C. North

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