Deregulation of electricity markets in the United States has resulted in supply disruptions and in higher prices for consumers. Properly understood, however, this phenomenon does not cast doubt on the economic principle that free-market competition is generally more efficient than state planning. Certain particularities of electricity as a commodity - including the impossibility of storing electricity, the inelasticity of demand for electricity, and the high barriers to entry for new producers - are peculiar obstacles to the creation of competitive electricity markets. In the above argument, the two portions in boldface play which of the following roles?

Deregulation of electricity markets in the United States has resulted

1.	Deregulation of electricity markets in the United States has resulted in supply disruptions and in higher prices for consumers. Properly understood, however, this phenomenon does not cast doubt on the economic principle that free-market competition is generally more efficient than state planning. Certain particularities of electricity as a commodity - including the impossibility of storing electricity, the inelasticity of demand for electricity, and the high barriers to entry for new producers - are peculiar obstacles to the creation of competitive electricity markets. In the above argument, the two portions in boldface play which of the following roles?
Answer» Deregulation of electricity markets in the United States has resulted in supply disruptions and in higher prices for consumers. Properly understood, however, this phenomenon does not cast doubt on the economic principle that free-market competition is generally more efficient than state planning. Certain particularities of electricity as a commodity - including the impossibility of storing electricity, the inelasticity of demand for electricity, and the high barriers to entry for new producers - are peculiar obstacles to the creation of competitive electricity markets. In the above argument, the two portions in boldface play which of the following roles?