Some attractive features of producing electricity from wind power are that the wind is clean and free. It does not have to be produced first as a fuel, then transported, and stored until it is needed. No wonder wind power generation has become an attractive way to produce electricity, especially with the volatility in oil and natural gas prices. Wind power accounted for about 14 percent of Europe’s electricity output in 2018 and is forecast to overtake gas installations in the very near future, according to WindEurope. Indeed, Denmark has already reached that mark at 41 percent of electricity output. The United States is also becoming a major producer of wind power, led by Texas and California. An important factor in the development of wind power is that the price of wind power has fallen over the past few decades even in the face of rapid industry expansion.

Is the electricity produced by wind power produced under increasing-, decreasing-, or constant-cost conditions?