Posted on 04/18/2006 8:09:46 AM PDT by ex-Texan
WASHINGTON (Reuters) - President George W. Bush said on Tuesday he is "concerned" about high gasoline prices, and pledged that the U.S. government will keep a close watch out for profiteering.
"I'm concerned about higher gasoline prices," Bush said at a Rose Garden news conference to name new staff appointments.
"The government has the responsibility to make sure that we watch very carefully and investigate possible price-gouging, and we will do just that," Bush said in unprompted remarks about energy prices.
U.S. crude oil futures hit a record of $70.88 a barrel on Tuesday on fears of supply disruptions in Iran stemming from its nuclear standoff with the West, as well as lingering outages in Nigeria.
U.S. retail gasoline prices rose 10 cents last week to average $2.78 a gallon, up 29 cents over the last three weeks and 55 cents higher than a year ago, the government said on Monday.
Bush said high crude oil prices, rising summer driving demand and a switch to new motor gasoline standards is keeping gasoline prices high.
"It's tight supply worldwide and we've got increasing demand from countries like India and China, which means that any disruption of supply ... (is) going to cause the price of crude to go up," Bush said.
More drivers will take to the road this summer, which will also boost demand, he said.
"At this time of year people are beginning to drive more, getting out on the highways, taking a little time off," Bush said. "That increasing demand is also part of the reason the price of gasoline is going up."
We can launch strikes on Chavez from there...and pump all the oil we like...
OK, let's see what happens when the gasoline consumption numbers are published.
Enough with surf generator...
The one and only true solution is orbital solar power satellites beaming their power down to earth via microwave transmission.
:-)
Yes, there are many here that consider themselves 'experts' in free market economics... yet completely ignore the teachings of Adam Smith.
It's funny that the most strident 'free marketeers' are the one's who usually state that it's perfectly okay for oil companies to charge whatever the market can bear.
Which contradicts Adam Smith, the father of the modern capitalism.
Contradicting his statements such as...
"The monopolists, by keeping the market constantly understocked, by never fully supplying the effectual demand, sell their commodities much above the natural price."
The Wealth of Nations, Book I, Chapter VII
"The price of monopoly is upon every occasion the highest which can be got."
The Wealth of Nations, Book I, Chapter VII
"The natural price, or the price of free competition ... is the lowest which can be taken, not upon every occasion indeed, but for any considerable time together...[It] is the lowest which the sellers can commonly afford to take, and at the same time continue their business."
The Wealth of Nations, Book I, Chapter VII
Yes, there are many here that consider themselves 'experts' in free market economics... yet completely ignore the teachings of Adam Smith.
It's funny that the most strident 'free marketeers' are the one's who usually state that it's perfectly okay for oil companies to charge whatever the market can bear.
Which contradicts Adam Smith, the father of the modern capitalism.
Contradicting his statements such as...
"The monopolists, by keeping the market constantly understocked, by never fully supplying the effectual demand, sell their commodities much above the natural price."
The Wealth of Nations, Book I, Chapter VII
"The price of monopoly is upon every occasion the highest which can be got."
The Wealth of Nations, Book I, Chapter VII
"The natural price, or the price of free competition ... is the lowest which can be taken, not upon every occasion indeed, but for any considerable time together...[It] is the lowest which the sellers can commonly afford to take, and at the same time continue their business."
The Wealth of Nations, Book I, Chapter VII
Yes, there are many here that consider themselves 'experts' in free market economics... yet completely ignore the teachings of Adam Smith.
It's funny that the most strident 'free marketeers' are the one's who usually state that it's perfectly okay for oil companies to charge whatever the market can bear.
Which contradicts Adam Smith, the father of the modern capitalism.
Contradicting his statements such as...
"The monopolists, by keeping the market constantly understocked, by never fully supplying the effectual demand, sell their commodities much above the natural price."
The Wealth of Nations, Book I, Chapter VII
"The price of monopoly is upon every occasion the highest which can be got."
The Wealth of Nations, Book I, Chapter VII
"The natural price, or the price of free competition ... is the lowest which can be taken, not upon every occasion indeed, but for any considerable time together...[It] is the lowest which the sellers can commonly afford to take, and at the same time continue their business."
The Wealth of Nations, Book I, Chapter VII
Please disregard the repeated messages. My computer froze up right as I pressed the 'post' button.
My apologies.
So, oil companies are a monopoly now? When did they change the definition?
Oil companies aren't public utilities and are entitled to anything that the market will bear.
If they want to charge $20/gal and can get enough people to pay it, more power to them.
Doesn't matter, as long as they ACT in the manner of a monopolist.
Don't believe me? Maybe you'll believe Adam Smith, the father of modern capitalism.
"The monopolists, by keeping the market constantly understocked, by never fully supplying the effectual demand, sell their commodities much above the natural price."
The Wealth of Nations, Book I, Chapter VII
"The price of monopoly is upon every occasion the highest which can be got."
The Wealth of Nations, Book I, Chapter VII
"The natural price, or the price of free competition ... is the lowest which can be taken, not upon every occasion indeed, but for any considerable time together...[It] is the lowest which the sellers can commonly afford to take, and at the same time continue their business."
The Wealth of Nations, Book I, Chapter VII
Senator Schumer?
Reality is what it is.
Prices go up when demand exceeds supply.
Period.
Then only Standard Oil for you!
I prefer Adam Smith, surely you've heard of him?
Time to break out the bicycle. I could stand to lose some weight
If you think the oil companies are going to pump out EXCESS, you're nuts. They will keep production as tight as they can to keep prices as high as they can to make as much profit as they can, which they are setting records making.
----
Which then fulfills the requirements for monopolistic actions. Which is against US law.
--From Adam Smith--
"The monopolists, by keeping the market constantly understocked, by never fully supplying the effectual demand, sell their commodities much above the natural price."
The Wealth of Nations, Book I, Chapter VII
"The price of monopoly is upon every occasion the highest which can be got."
The Wealth of Nations, Book I, Chapter VII
Last Friday, I had to go to three different gas stations to find one that hadn't sold out of gasoline.
This in Columbia, MD.
Do tell, what is a "fair" price for gas? Bear in mind that a barrel of oil contains 42 gallons, so the current price of $70/barrel equates to $1.67/gallon, *before* transportation, refining, taxes, and overhead.
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