Energy conservation policies of the federal energy office: economic demand analysis.

Forecasts for crude petroleum consumption are presented which take into account attempts by the Federal Energy Office to regulate residential and commercial thermostats. On the basis of an economic demand model, it is found that lowering all thermostats by 6 degrees F would lower the projected residential and commercial petroleum demand in 1973 by 12 percent. This amount is compared to forecasts made by the Federal Energy Office and to the eflect of a price increase of $0.10 per gallon for heating oil.