THE AUDACITY OF TRUTH ABOUT BARACK HUSSEIN OBAMA'S CIRCLE OF FRIENDS
CHOOSING THE NEXT PRESIDENT OF THE UNITED STATES
NOBAMA MOVEMENT SPREADS ACROSS THE NATION
Posted on 08/06/2008 3:18:33 PM PDT by Libloather
The RATS own the the issue of LIMITING energy. Just ax Algore.
No.
Now, I only see the Dims getting 3 extra seats in the Senate.
In fact, “use-it-or-lose-it” actually reinforces the G.O.P.’s message, since it encourages voters to view gas prices as an issue of supply, and not demand.
Say’s law wins every time.
OUCH! This statement just make my brain hurt. Why do these people have such a hard time understanding the supply side of economics?
(click the image for details)
Schnitt is working mightily on getting a FReep of SanFranNan down in Coral Gables, right about now. He also wants her to return to an office in DC awash in drill bits. We're talking a $2 investment here, folks.
This author either doesn't know or play down the future supply expectation. With a decision to drill now, people can expect that future supply will increase. Just see what happened when President Bush announced his lifting ban on off-shore drilling.
WOW...this libbie reporter sounds desperate....LOL
Would love to get a look at the CURRENT internal polling on this ‘debate’ that Queen Nazi won’t allow.
They must be in really BIG TROUBLE!!
Futures markets influence the spot market and you're right a big factor in the market is anticipated future capacity. With prices this high and not justified by any shortages, future expectations are a huge factor.
My thoughts as well. MSM will cover for them and oil is coming down. Over the long term their policies will hurt us but I see no short term consequences.
Here is a good reason why SanFran Nan couldn't care less - Pelosi to at-risk Dems: Go ahead and oppose me on drilling (I suggest reading the post and the source article).
Do you have any idea what a drill bit costs? Last I heard they were very expensive. Thieves were stealing them etc.
“It should be stipulated the G.O.P.’s “Drill now!” mantra is, from a policy standpoint, every bit the same red herring as the gas tax holiday. It will be years before even a drop of oil is reaped from off-shore drilling, and even that won’t really matter in the context of a global market in which demand is nearing 100 million barrels per day. Sure, off-shore drilling won’t hurt gas prices - in the same way that returning an empty Coke can for the nickel deposit won’t hurt your effort to save up for a house. The decision on whether to allow off-shore drilling is utterly inconsequential to the matter of lowering gas prices...”
Imagine you have an oil well in your back yard, and you see the price of oil going up and up and up, driven by demand from China and India, with much higher prices predicted for the future. When your oil well contractor tells you that if you give him a few bucks, he can increase your oil well flow by 20%... do you do it? Or do you tell him to wait a while, because you will get much more money for that oil later? (e.g., sell that barrel of oil now for $120, or next year for $200?)
Then ... you hear that the FEDs are going to start drilling in ANWR, and off the coast of Florida over by Cuba ... thus increasing the supply in a few years. You now get worried that the price will continue up a little bit for a few years, then fall when ANWR and Florida oil come on line. What do you do now? You probably open up your oil spigot as wide as possible to get as much money as possible while the price is high, expecting the price to drop later. Other people do the same, increasing the supply, and prices go down NOW.
Thus, announcing that we are going to start oil production in ANWR and offshore in a few years results in decreases in prices today. Unlike politician (who are only concerned about the next election) and journalists (who are only worried about making the next deadline), oil producers look long term, and act accordingly.
And Adam Smith’s “invisible hand” strikes again, providing lower prices when the government stops interfering in the marketplace.
(juxtaposed illogic as if the issue were food and not oil)
Why would they do this? There has to be a reason.
Obama: "It is going to take nothing less than a complete transformation of our economy. Energy independence will require all hands on deck from America."
Change: a complete transformation of our economy.
Ohhhhh.. I see. That's why.
Obama has brought the Stalinist Rat Party (formerly the traditional, patriotic Democratic Party) out into the open!
Nonsense. The author completely disregards the expectations side of the free market, which has demonstrated time and again that changing the expectations changes the market behavior. Expecting higher supply will have a drawdown effect on the price.
Even W's unilateral recission of the presidential ban on offshore drilling had a pronounced effect.
Just my $.02.
They have the same problem with the demand side. In the event of a supply shortage, their solution is "demand less" and not "supply more."
While "demand less" works in the short term, if the demand isn't met by an increase in supply, and if prices are capped, "demand less" doesn't work, and new supplies aren't ever brought to market, resulting in over-use of the current resources to the point of unprofitability, after which point government is forced to step in and subsidize supply, granting exceptional powers to the government in the process.
Sounds like Liberal Plan "A" to me.
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