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| https://www.mnn.com/earth-matters/energy/stories/what-is-green-energy |
The economic principle I’m exploring is “
Because of scarcity, people choose. All choices have an opportunity cost.
“https://ase.tufts.edu/gdae/education_materials/modules/RenewableEnergyEcon.pdf
My research question to help me study the economic principle is
What should institutions,people, like the EPA, Congress, energy industry, and schools etc. do to increase alternative energy dependency?
What should institutions,people, like the EPA, Congress, energy industry, and schools etc. do to increase alternative energy dependency?
”
” demonstrates this economic principle because it argues the reasons why fossil fuels remain
dominant in the energy industry, and what needs to be done in order to make renewable energy more economically marketable.
dominant in the energy industry, and what needs to be done in order to make renewable energy more economically marketable.
First, currently, America does possess the power to completely convert to renewable energy sources.
However, majority
do not want to convert to renewable energy due to the cost of implementing
renewable energy is far higher than utilizing fossil fuels.
Today, 80% of American power is fueled by fossil fuels.
With time, people are gradually adjusting to using renewable energy due to the costs of renewable energy decreasing.
At this point, renewable energy can compete against fossil fuels just in financial grounds.
However, majority
do not want to convert to renewable energy due to the cost of implementing
renewable energy is far higher than utilizing fossil fuels.
Today, 80% of American power is fueled by fossil fuels.
With time, people are gradually adjusting to using renewable energy due to the costs of renewable energy decreasing.
At this point, renewable energy can compete against fossil fuels just in financial grounds.
In my next blog post I will research:
International laws on renewable energy
Second, the data to compare the costs of fossil fuels versus the costs of renewable energy is calculated with the levelized cost of energy. In order for renewable energy to be cost effective, renewable energy must drop at around the sale of average electricity that bought today in most homes. Statistics do show that the prices of renewable energy like solar, wind, and hydropower will decrease, but the decrease in price will occur in a much slower rate than it is currently droppingThird, the main cost obstacles for making renewable energy are the net energy, capital intensity, and their intermittency. The main reason fossil fuels are vastly popular in comparison to renewable energy is due to the concentration of energy located in small volumes of gasolines which can be easily stored. This is the reason why fossil fuels are far more in demand than renewable energy. Harvesting fossil fuels also take a lot less energy to perform. Also, the initial establishment of renewable energy structure is typically more expensive. Ultimately, in order to make renewable energy more in demand, renewable energy must be sold with less expenses,and new innovation in harvesting renewable energy is necessary for it to become more cost-effective.
I was surprised to see how many people don't truly want renewable energy sources when a lot of people talk about wanting to help the environment. I think that 80% is a good percentage for showing that the majority wants to be with fossil fuels and so little don't want to.
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