As I argue in this presentation delivered last week at the Ronald Coase Institute Workshop on Institutional Analysis, the bifurcated PX/ISO pool trading structure created a myriad of incentives for both buyers and sellers to behave strategically. Furthermore, because I was making a methodological point to the students, better institutional analysis could have lessened or prevented the ensuing losses and disruptions. I say could have because the political process could have meant that decision-makers would not have found it in their interests to listen to a sound institutional analysis, even if presented with it before the fact. Bottom line: institutions matter, and analyzing them and the incentives they create is important for good policy and good market design.