Posted on 07/26/2008 7:34:34 AM PDT by Delacon
The average American voter understands no more about the contributing factors of the current price of gasoline, than they do the falling value of their national currency. That makes them easy targets for political manipulation in a very important election year.
Most Americans kind of get this one, though they are often misled about the ups and downs of natural free market cycles and how much impact government has, or should have, on the matter.
In short, the cost for one gallon of gas (or one loaf of bread) is dramatically increased when there is only one gallon (or one loaf) and 100 people want it. Likewise in reverse, when 100 loaves of bread are about to go bad because nobody wants them, the price per loaf (or per gallon) will become very reasonable.
In a general sense, America does have a very real supply and demand problem. More than 70 percent of the oil America consumes is supplied by foreign sources, some of them with a very different agenda for our country than our own.
Our government has spent the last thirty years blocking domestic oil exploration, production and refining capacity. That led America from less than 40 percent dependence on foreign oil thirty years ago, to over seventy percent dependence upon foreign oil today. There is no world shortage, only a shortage of domestic product which results in the ability of foreign producers to hold America hostage over the proverbial oil barrel.
Speculating on world demand and the lack of American production, international financiers (futures traders) have bought and re-sold barrels of foreign oil eight or ten times before they reach the end destination of an American refinery. As a result, what costs Saudi Arabia $3.00 a barrel to extract from their corner of the earth reaches $140 a barrel by the time a U.S. refinery can buy it. This is the single largest reason for today’s price at the pumps.
But watch what happened the minute the U.S. President announced he was lifting the executive ban on domestic production… Speculation changed and so did crude prices.
That’s an easy question to answer. The same people still blocking domestic production today, congressional Democrats, at the beck and call of their eco-nut constituents hell-bent upon forcing Americans to wean themselves off of fossil fuels, no matter the devastation to the American economy.
As demonstrated by the recent drop in crude prices, the mere mention by President Bush, of opening up American production for the first time in thirty years caused the market to immediately react with a drop in crude prices. Prices dropped only marginally because investors know that Bush alone can not open up domestic production and congressional Democrats immediately promised to block his efforts.
But because even many congressional Democrats would support lifting the congressional ban on domestic production, current Democrat leadership in both houses will not allow the matter to come to the floor for a vote, where the measure would certainly pass.
At present, two individual American members of congress are responsible for holding America hostage to foreign oil, Speaker of the House Nancy Pelosi and Senator Harry Reid. Neither will allow a vote in their respective house because the measure would pass a floor vote.
It would pass a floor vote for two reasons.
1) The vast majority of Americans want the ban on domestic production lifted and no member of congress hoping to keep their seat could afford to vote against it; and
2) even the average Democrat is smart enough to know that America can not remain 70 percent reliant upon foreign energy and maintain national sovereignty and security at the same time.
Hiding beneath Al Gore’s Global Warming Scam and get-rich-quick Carbon Deposit scheme, key Democrats assert that “conservation is the ONLY solution.” They intend to “force” Americans to conserve by wrecking their economic ability to do anything else.
Despite growing public support for ending the ban, even in California, Democratic House Speaker Nancy Pelosi said she won’t allow a vote. “I have no plans to do so,” Pelosi said Thursday.
Calling the current high gas prices a “Bush failure,” Pelosi seeks to saddle the current President with the results of a thirty year old Democrat legislative blockade on domestic energy production. Did it work? For some it does.
As reported by the Wall Street Journal, “Sen. Reid faces pressure from senators who want to lift the offshore ban, including some in his own party who, at a minimum, favor more offshore production and opening up oil-shale development in the Midwest.”
According to the WSJ piece, “In the Senate, Majority Leader Harry Reid (D., Nev.) said he is open to a compromise that would encourage more domestic oil and gas production but wants to focus on strengthening oversight [government intrusion] of energy-futures markets, arguing that speculation has driven up crude prices.”
Of course, every Democrat “compromise” is laden with both “power grabs” and “pork barrel” spending that weighs every piece of Democrat legislation down to a crawl and subjects it to the potential veto.
The fact is, market speculation on foreign oil products may need restraints, but only because Democrats have placed Americans over a barrel by blocking domestic production for thirty years. In an otherwise “free market,” such measures would not be needed.
Democrats indeed have a “winning” energy strategy. But the prize is not cheaper – cleaner energy. It’s more Democrat power.
Democrats are to some degree beholden to their eco-nut sycophants, without whom they would not be in political power today. But they are even more beholden to their agenda of a Democratic Socialist America, as described by their leadership at the Democratic Socialists of America.
Americans would never intentionally vote for socialism, unless properly motivated to do so.
When Americans can no longer afford gas to get to work, or food at the grocery, or heat in their homes, they will welcome Democratic Socialism as the least inconvenient means of survival. Hungry Americans will vote for socialism via democratic process, never once even thinking about the individual freedoms and liberties they are trading in for a mouthful of food.
Democrats are blocking domestic oil production not for ecological purposes, but for the economic impact on the masses they need to support Democratic Socialism, in this and future election cycles.
Whatever it takes to break the free-spirit of the average American voter and force them to vote for socialism, more central power, is only a means justified by the ends.
That’s why Democrats continue their legislative blockade on American energy production and they will continue that blockade through the election cycle, even if gasoline reaches $10 a gallon. The higher the better frankly… More Democrat seats will be won this fall.
Their current demands that the President release supply from the emergency strategic reserve is nothing more than a political cover story aimed at misdirecting the attention of their idiot minions. Such a move only deepens the domestic supply shortage, making it even easier for foreign oil producers to hold America hostage going forward. It does nothing to break America free from foreign oil, short term or long term.
Whether dealing with international terrorists or modern Democratic Socialist in command and control of today’s DNC, voters must come to grips with the reality that both play by a different set of rules than most Americans are accustomed to.
The tenets of radical Islam and Democratic Socialism are the same in that neither is in the least concerned with the damage caused in pursuit of their agenda. Both seek to bring Americans to their knees by any means available.
And in the end, it won’t even matter which one America falls to… Either way, Americans will die or live in bondage.
And that’s the truth, whether you care to believe it or not.
Only the people can force Pelosi and Reid to allow a floor vote to free America from energy hostage… Be a part of the solution here - Drill Here. Drill Now. Pay Less. [4]
ping
What's a shame is that we don't have a candidate that represents a clear choice between good and evil but even at that, McCain represents a relatively positive choice in most of the important issues and certainly in the ONE BIG ISSUE.
Will the sheep be able to connect the dots??
That is the question.
It’s a campaign ploy.
Most years, it would have worked without a hitch. But Barack Hussein Obama, Jr., the charismatic, messianic Magic Negro, kind of spilled the beans a little early, when he mentioned that he did not mind the higher prices for motor fuel and other petroleum products, but that “they rose too quickly”.
This is the old tale of the frog in hot water. Try to drop a frog in a pan of water that is too hot, he will react by springing out immediately. But keep the frog in a pot of cool water, then heat the pot up gradually, and the frog never knows he should hop out, until it is too late.
As it is, WAY too many frogs have stayed in until too late, and do not know to jump out. Now.
Ah, it makes frog soup.
Not true..WRONG.. because "they " also want to shut down mining, lumber production, manufacturing, and even farming.. There are forces hidden under ecology (and other) blankets trying to gut Americas ability to PRODUCE.. weakening America.. And these are AMERICANS.. not foreigners.. Domestic economy terrorists..
Hat Tip: Michelle Malkin
Without a doubt, that old-school ideal has been ripped away over at least these issues (in no particular order):
1. The price of energy ripping away any semblance of disposable income amongst the masses.
2. Taxation levels -- same deal.
3. Illegal immigration. Gee, if there were even HALF as many illegals running amok in this country, how much easier would it be for American workers to find good jobs? And by the way, I'm gonna lump in the issue of business outsourcing with this one... both parties are highly guilty here.
4. Support for the military. Is there any place where the All-American men and women show themselves to be the best of our culture other than right here in our armed forces? Based on sheer heritage, it is the Democrats who should be the ones to embrace our fighting forces the most.
5. Social Security protection. In the history of the Democrat party, this issue is probably is the top five all-time of the laws that 'made' the Dem party. Yet they aren't lifting a finger to even admit that it will collapse within the next 2 decades.
On these pages, we all know why this is the case: the Dems are sold out to the forces in opposition to each of these issues (although I still frankly can't quite understand #3, even from their point of view).
My personal hope is that finally, maybe; the veil will be lifted and the average Joe will finally see that the Rats haven't been on their side since (at least) the days of JFK.
The GOP has become more and more part of a “Republicrat” party who's primary goal is continued incumbency and power rather than conservatism, defense of US national interests and doing what is right vs what is expedient.
Unless, incumbents fear that they will lose their seats because of their obstructionism, only sham laws will be passed rather than real, effective energy independence and development programs.
Inconsistent.
On Supply and Demand - What would reduce [gas] prices quicker - increase supply or decrease demand? Substitute another product [tomatoes] for [gas] and answer again.
Is it only gas that is increasing in price or is it many, many retail products?
Would making all items we import make them cheaper?
Would stop inflating money make prices decrease?
Why do the Democrats want the oil companies to make so much money?
See also the old Brock Yates book, “The War Against the Automobile:”
Dimocrats hate cars because cars exemplify freedom from government control, freedom to go where you want and do as you please.
Nothing annoys Liberals more than this.
(Plus they hate having their limousines stuck in plebeian traffic...)
Unfortunately, this is nonsense.
There IS a world shortage of supply relative to demand, which is why the world price is so high.
If America was presently getting 100% of its oil from domestic sources, we would still be paying the world price unless the government stepped in and placed price controls, export restrictions, or some other means of isolating the US oil market from the world oil price.
Otherwise, US oil producers, no dummies they, would sell their oil to overseas customers paying $140 as compared to domestic customers paying $50 or $100.
Where the oil is produced or consumed is irrelevant to the market price as long as there is a single market.
The answer remains exactly the same regardless of what word you put in the blank.
Tomatoes?
OK, ever wonder why the price of tomatoes drops during the summer?
That's right: increased supply.
Still wondering why so many retail products are increasing in price?
They arrive at the store by truck, right?
And the truck runs on (very expensive) Diesel fuel, right?
Connect another dot or two and call back...
The entire eco-nut movement is a socialist movement, forcing America deeper and deeper into democratic socialism via economically devastating eco policies...
The GOP needs to hit these envirowackos and hard. our society is an oil petroleum based society. until they come up with a better plan, DRILL, and DRILL some more.
or this nation will sink.
Hey, the line isn't answering.
| Unfortunately, this is nonsense.
It must suck to be a refinery, because you can only buy oil from guys who bought the oil from other guys, who bought the oil from other guys, marked up ten times for no reason. Any attempt by you to buy oil directly from the guy who drilled it, and hire your own ship to bring it in, is against, well, I don't know what it's against, but this author is telling us you can't do that. Which is BS. |
Ah...never had frog zoop.
Probably after the November elections I'll have some but first I'll be heading across to the other side of the mountains to avoid the effects of the blast.
I totally disagree. For one, any increase in supply will bring the price of oil down. Econ 101 dontcha know. Second, the current price of oil is artifically high even when you take in the current demand. That is because a few oil producing countries formed a cartel and set the price by limiting supply. If the US were able to up its supply of oil to the world market, then they could undercut other oil producers. Europe would be happy to buy its oil from the US even if the US was offering its oil for 1 dollar less per barrel. That would increase the US’s market share. Opec and others in turn would have to offer its oil for the same price to remain competitive. Then the US oil producers would drop the price again by increasing supply. And on and on.
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The article is full of nonsense. I especially liked this one: