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Energy, Oil, Alternative energy, supply-and-demand

Oilman T. Boone Pickens has proposed a plan to build wind farms in the center of the United States to produce about 20 percent of the electricity consumed in theUnited States. This would replace that same percentage of electricity currently produced by natural gas. The natural gas saved would be used to replace gasoline to run cars and light trucks. According to Pickens, oil imports could be reduced by one-third. The United States currently uses about 25 percent of global oil production.

Using the supply-and-demand model explain how Pickens' plan would affect the global price of oil if it were to be successfully implemented. Consider other alternative energy plans.

If you were a government energy policy advisor, what would you recommend as an energy policy for the 21st Century? Why?
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