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| Topic: |
Business
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| Number of pages / Number of words: |
4 / 955 |
Essay's paper body
Natural gas has increased because the majority of the new power plants are now fueled by natural gas. Because the supply of natural gas has not kept up with the demand, natural market forces have driven prices up over the past year (DTE Energy).
The law of demand states that the quantity demanded of a good is inversely related to the price of that good, other things constant...
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As the price of a good goes up, the quantity demanded goes down, so the demand curve is downward sloping (Colander, D). The demand for natural gas is up which means that DTE will need to increase gas prices.
However, since the inception of deregulation for energy, consumers and businesses have a choice of purchasing energy from other competitors...
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General points of the essay
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