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About The Battalion. (College Station, Tex.) 1893-current | View Entire Issue (Nov. 6, 1973)
Pafe 2 College Station, Texas Tuesday, November 6, 1973 THE BATTALK [HE BA Regulations vs. Regulators: the Cry for More Fuel By Dr. PHIL GRAMM Dept, of Economics It has always been fashionable to prophesy doom. Most such pro phecies are based on the assump tion of the existence of physical constraints which are beyond man’s control The assumption of a fixed quantity of arable land gave rise to the Malthusian subsistence thesis that only war, pestilence or moral restraint could prevent the reduction of all mankind to a sub sistence level of poverty. Malthus of course was neglecting technol ogical change. The dire prediction never materialized because tech nological progress has outpaced population growth. Historically, we have seen this phenomenon before in the area of energy use. In fact our present crisis is the second major energy crisis in American History. The first occured in the late nine teenth century when whale oil, the major source of lighting, was becomming more scarce. So ser ious was the problem that a meet ing of major whaling nations was held to try and solve this crisis, but no agreement to avert the im pending calamity was reached. All seemed lost to the “planners for future needs” until a simple pro cess was developed to convert crude oil into a light source, i. e., a technological change ended the crisis. There is no end to such stories. Much of the media outpour ing on the so called energy crisis follows the logic expressed in the population and whale oil crises. Since there is just so much oil, coal, natural gas and other energy sources, sooner or later we are going to run out. We must begin to ration these resources so as to conserve energy in our time and move the day of reckoning fur- thter into the future. This logic would have left us with whale oil reserves with no economic •value. There is no reason to be lieve that we face a long term en ergy crisis. If technology were suddenly frozen such projections might be realized in several hun dred years or less, depending on which experts of the week one be lieves. But technology is not fro zen, it is instead progressing at a rate unprecedented in history. The Petroleum Age will pass as did the Stone Age. The real dan ger is that we may foolishly re strict the exploitation of current energy sourcves and allow them to become obsolete. Only if we eli minate the market incentives for innovation and investment could we face a long term energy crisis. Though there is no long-term energy crisis there is a short-term problem. One who knows any eco nomics is aware that shortages cannot exist in free markets. The mere existence of shortages is a key to understanding the energy crisis. Shortages result from mar ket disruptions, and the only sec tor of society which possesses the power to disrupt a large market is the government. Government in tervention in the energy market has occurred in numerous areas. Perhaps the most disruptive has been government price ceilings on natrual gas at the well head. By setting the price of natural gas artifically low, the government has stifled the incentive of pro ducers to increase supply while the artificially low price has stim ulated demand. Further, since pro fits are low at these artificially low ceiling prices, investment and exploration have fallen off sharp ly. Environmental legislation and court action have had a significent impact on the supply and demand for energy. Injunctions against atomic and conventional power plants have prevented the supply of electricity from keeping up with the demand. The injunction against the Alaskan pipeline im- peeded the growth of oil supplies. Pollution control devices on auto mobiles have increased fuel con sumption and thereby increased the demand for gasoline Mass con versions from high sulphur to low sulphur fuels in order to comply with EPA regulations to abate pollution has caused a change in the composition of energy demand from plentiful, cheap sources of energy to scarce, expensive ones. The energy crisis has made it clear that pollution abatement has Butt Commentary Blanket Grades As noted two weeks ago in Batt Commentary, The Battalion endorsed the proposal of sending mid-term re ports to freshmen because this enables them to get a quick understanding of the University grading procedure. The determination of who grade reports are sent to has been a topic of major concern, but a more important controversy centers on the validity of the reports because of faculty issuance of blanket grades. Blanket grading is definitely unfair for any report sent to students. A Student Government survey indicated that as much as 20 per cent of the faculty issue blanket grades to stu dents, meaning a total disregard for the system and psy chological impressions left if the grades are bad. (The Battalion mistakenly reported that 75 per cent of the fac ulty did this in its Oct. 25 issue.) A check by the Regis trar’s office indicates that only 7.8 per cent of the faculty did this for the current semester. The validity of these polls is also subject to question because the interpretations of blanket grade meanings vary. To some, a blanket grade means everyone in the class received the same grade. Faculty members may issue ‘A’s and ‘B’s alternately on the grade sheet turned in for computer processing. The methods for issuing blanket grades, then, have innumerable possibilities, as these examples illustrate. The fact that there are different ways of hurting a student’s ego is grounds enough to demand that the Aca demic Council should put a stop to blanket grading. The existing situation shows that stringent enforcement of grading procedures needs to be carried out. In all in stances this would effect both a true understanding of the University’s grading system and provide whatever mental boost is justly deserved by new students. Under the cur rent distribution system, upperclass students would bene fit as well by correct grading. All academic department heads are voting members of the Academic Council, as well as Student Government President Randy Ross. If you don’t like the existing sys tem of issuing grades and distributing mid-term reports to all students, we urge you to contact Ross or your depart ment head. The system must be changed to accommodate adult privileges recently attained by most students and to be fair to all in its use. <2>V75 I WAS TAKING THE TAPES OVER TO JUDGE SIRICA... ..WHEN I WAS JUMPED , BY A PARTISAN MUGGER/ BUT I HAVE A CERTAIN QUALITY... I REMAINED COOL/ I RESCUED ALL BUT TWO OF THE TAPES... .AND DASHED TO r SIRICA'S OFFICE! anybody, lieve me.... r Cbe Battalion Opinions expressed in The Battalion are those Of The Battalion, a student newspaper at Texas A&M, is O* ‘ d “°r O' of ‘he write, of the article and are not ESS? necessarily those of the University administration or May, and once a week during summer school. the Board of Directors. The Battalion is a non-profit, self-supporting enterprise operated by students as a , MEMBER > _ University and Community newspaper. The Associated Press, Texas Press Association LETTERS POLICY Mail subscriptions are $3.50 per semester; $6 per school Letters to the editor should not exceed 300 words year; $6.50 per full year All subscriptions subject to 6% sales tax. Advertising rate furnished on request. Address: and are subject to being cut to that length or less if The Battalion, Room 217, Services Building, College Station, longer. The editorial staff reserves the right to edit Texas 77843. such letters and does not guarantee to publish any The Associated Press is entitled exclusively to the use for letter. Each letter must be signed and show the address reproduction of all news dispatches credited to it or not nf fho mr-itoT otherwise credited in the paper and local news of spontaneous oj me writer. . . origin published herein. Right of reproduction of all other Address correspondence to Listen Up, The Battalion, matter herein are also reserved. Room 217, Services Building, College Station, Texas Second-Class postage paid at College Station, Texas. 77843 - EDITOR MIKE RICE Members of the Student Publications Board are: Jim „ . t-, ,., Lindsey, chairman ; Dr. Tom Adair, Dr. R. A. Albanese, Dr. Managing Eidltor Greg MOS6S H. E. Hierth, W. C. Harrison, J. W. Griffith, L. E. Kruse and News Editor T. C. Gallucci B. b. Sears. Photo Editor Rodger Mallison Represented nationally by National Educational Advertising Sports Editor Kevin Coffey Services. Inc, New York City, Chicago and Los Angeles. Ass’t. Sports Editor Ted Boriskie a definite cost to society. The preservation of the migration pat terns of wildlife in Alaska, no matter how noble an aim, will cause higher fuel bills and poten tial shortages. Only by under standing the costs involved in various forms of pollution abate ment can we choose how much environmental protection is opti mal. It seems clear that special interests groups on both sides of the environmental issue, have ad vocated ecological solutions that would have far reaching conse quences for future generations without inquiring into the costs involved for society in such areas as economic growth and the qual ity of life. Combine government stupidity, environmental overreaction, the politics of the middle East and rapidly expanding world demand and you have produced an energy shortage. However, it is easy to say what caused the shortage, but to find solutions that meet the dual requirements of common sense and optimal allocation is more difficult. I have three sug gestions: (1) Eliminate all price ceilings and government controls. This ac tion, as economic analysis has shown us, would greatly stimulate supply and insure allocation of energy to the highest priority us ers. (2) Inform society of the cost of environmental and ecological programs and then allow free choice. If people want the end pro ducts of such programs they will have to pay the cost in higher energy prices, and with adequate information, society will be able to decide which programs are worth the cost and which are not. (3) Institute peak-load pric ing for electricity in shortage areas. Brown-outs and black-outs occur because in peak use periods overloads occur. By charging more for power in peak periods, non- essential use would occur in non peak load periods when power is cheaper. Under the current sys tem there is no incentive to spread out power use. Peak load pricing could minimize overloads in the current system and allow time for supply sources to catch up to peak load demand. In a free market, when the price of a good starts to rise, three sim ultaneous forces are produced. First, people start to use the good more judiciously, second, produc ers and consumers who use the product begin to search for cheap er substututes, and third, produc ers of the product attempt to ex pand output by using and develop ing technology to meet the de mand. It is this process which has always forestalled doom. ing. Herein lies the real 1 the energy crisis. NotonlyiU ernment regulations and com create short-term shortages; they impede solutions to pote long-term shortages. If we i the clumsy hand of govemmerl regulate and control the 1 energy, we may rupture thei; vation process and face When regulation does nets a problem, the regulator thinks to end regulation, He0 for more regulation. Those; have no knowledge of free; kets stampede to give him: power. In such cases, our ] lem is not an energy crisis l leadership crisis. Go taxation We will run out of energy only if we allow the government to pre vent the free market from work- Dr. Gramm is a special on environment and the Ministry of Natural Re ces, Canadian Government consultant on health eeonomkj the Dept, of Health Education; Welfare. Listen Up— U. S. Needs Coup d’ Etat Resurrection Editor: In many of the developing coun tries of the world, students inter ested in military science go abroad for advanced training in modern military procedures and political theory, i.e., Sandhurst in England. There have been a few of these students who later were rulers in their own countries. The time has come for a two way ex change with our own mil tary stu dents studying in Africa and South America to learn first hand how military rule can guide a floundering country. The United States is definitely floundering having reached an abyss in the lack of confidence in our present government that has catered to subterfuge and corrup tion. If a developing country was experiencing similar difficulties, there would likely be a military coup d’etat to cleanse the political system. Coups are swift and de cisive in cauterizing the infection, since an honorable resignation is beyond all hope and impeachment proceedings are laborious. There are at present several good examples of military gov ernments in both South America and Africa worth studying. The military science department should award scholarships to promising cadets for a semester abroad to study for credit in Coup d’etat 308 and the military’s role in the political organization, and so by next April they could return to help resurrect us from our malady. We do have much to learn from our Third World neighbors. Gregory Sullivan ★ ★ ★ Editor: Most students are dissatisfied with the bicycle regulations at TAMU. Some of these complaints are valid, but a letter to the Bat talion will probably not get these regulations changed. The policy concerning the oper ation of bicycles came about after over two years of planning. Ar ticles appeared in the Battalion about the formation of bicycle regulations. Announcements were also made about meetings of the Traffic Panel requesting student Input. Unfortunately, few students felt that planning for bicycles on our campus would affect them. Now, those people who were cerned the least are yelling loudest. The Campus Planning Com tee has been reviewing the bii situation on our campus this and has asked for input from student body. Except for the gestions received from the! Wheelmen, the students again been apathetic about formation of bicycle regulate! Any ideas about the opera! of bicycles on the TAMU cani| are welcome by the Campus Pli ning Committee. These sui tions should be made by day by calling the Student ernment office, 845-3051. this F; Barry Brooks, Chairperson Campus Planning Committe You don’t have to wait for your commission to join the 5 out of 6 active duty officers who carry USAA insurance. 4, ■~Jr.j*¥**** ■■•JO*? As an Advanced ROTC student, you are eligible to apply for USAA insurance—for your car, personal possessions, and personal liability. USAA is an association of officers serving fellow officers with the lowest possible premiums, quick and fair claims settlements, and a sharing of dividends. (Though not guaranteed, USAA has been paying dividends every year since 1924.) You may save as much as $20 to $60, depending on where you live, on auto insurance alone. And a special USAA feature, the Household Goods Policy, is available to insure your personal property at home, at school, or in your car, for only $ 10 per year per $ 1,000 of insurance protection. Small wonder more officers insure with USAA than all other insurance companies combined. Mail the coupon for details—at no obligation. Please Print or Type 3375 | Full Name Street Address City, State, Zip (Area Code) Phone No. S6c Sec No. Student Program □ Air Force □ Army 77 Navy C Marine Corps □ Advanced ROTC Program □ Other (Title of Program) Name of College or University^ I am interested in information (At No Obliga tion) on; □ Automobile GHousehold Goods dPersonal Liability USAA For more information write: USAA USAA Building San Antonio, Texas 78284 Over 200 and repres sions met ir to review governing tions, expel Secretary and Attorn discussed tl brought ab legislation ■ lature. “We are legal tran general toh fesional m office has opinions sc than the to 100 opinio be prepare White ou paign cont tures direc sponsored of Associa Other s details of the sectioi I which af lobbying. | “H.B. 2- is unconsti Maloney, violates be amendmen He citei supported Texas lol speakers p AG opinic state to < campaign lobby law. Political state busi are being the new 1 Labor u route in 1 they are p law from campaign: Speakei Boan Mari « Conv The roles h nor Bi posses: der ole four 01 involve Alth Appea tion 0 for res victed coe sa intend offend laws e the pe sessio; juana Texa; fense