May 9, 2012 Energy use is pervasive throughout the U.S. economy.
Households and businesses use energy from oil, natural gas,
coal, nuclear power, and renewable sources (such as wind and the
sun) to generate electricity, provide transportation, and heat
and cool buildings. In 2010, energy consumption represented 8.4
percent of U.S. gross domestic product. Disruptions in the
supply of commodities used to produce energy tend to raise
energy prices, imposing an increased burden on U.S. households
and businesses. Disruptions can also reduce the nation’s
economic output and thus people’s income. This paper examines
energy security in the United States—that is, the ability of
U.S. households and businesses to accommodate disruptions of
supply in energy markets—and actions that the government could
take to reduce the effects of such disruptions. The
vulnerability of the U.S. economy to disruptions in the supply
of a particular energy source depends on the importance of that
energy source to the economy. More than 80