U.S. SAID IMPROVING ENVIRONMENT, NOT WASTING ENERGY

The Bush administration's leading economist opposes two popular views with great influence in energy and environmental policy making. One view is the assumption that Americans waste energy. The other is concern that the U.S. environment is deteriorating. Michael J. Boskin, chairman of the President's Council of Economic Advisors, told the American Petroleum Institute annual meeting that international assertions about U.S. energy wastefulness conflict with facts.

Nov. 25, 1991

2 min read

The Bush administration's leading economist opposes two popular views with great influence in energy and environmental policy making.

One view is the assumption that Americans waste energy. The other is concern that the U.S. environment is deteriorating.

Michael J. Boskin, chairman of the President's Council of Economic Advisors, told the American Petroleum Institute annual meeting that international assertions about U.S. energy wastefulness conflict with facts.

"The U.S. pattern of energy use is commensurate with its large land area, low population density, and significant indigenous resources," Boskin said.

Similar countries, such as Canada and Australia, have similar energy consumption patterns.

U.S. cities, highways, and industries were developed under conditions of abundant and relatively inexpensive energy, Boskin said.

"International differences in energy use are due largely to differences in economic structure, rather than to alleged differences in the efficiency of appliances, equipment, and vehicles."

And international differences are shrinking, the economist said. During 1972-86, energy use per unit of real gross national product (GNP) fell by 22% in the European Community and 33% in the U.S.

Since 1973, U.S. energy consumption has increased by 10%, while GNP has increased by 50%. In the interim, the country has gained more than 20 million homes and 50 million cars.

New car fuel efficiencies in the U.S. now rival those of other industrialized countries, Boskin said. And U.S. homes use less energy per square foot than those of other industrialized countries.

Most U.S. environmental news is good, Boskin declared, citing decreases since the mid-1970s in emissions of airborne lead, sulfur dioxide, total suspended particulates, ozone, and carbon monoxide.

"Even carbon dioxide emissions have barely grown in 15 years," he said.

But the public has a different impression.

"We in Washington are under increasing pressure to enact new regulatory programs to eliminate all purported threats to the environment," Boskin said.

Some threats are real, some are not, and most are subject to great scientific uncertainty, he said, warning that excessive environmental remedies can hurt the environment by halting economic growth,

"The wealthiest nations are those most willing and able to devote resources to environmental protection."