To: inquest
The effect of tarrifs is still the same. Recall that in California the left/environmental groups tried to stem the growth in the state by restricting the power companies plans to build power plants for future growth. The result was that power prices shot through the roof but the greens held their own. Next came power blackouts. The government should be extremely careful when they tamper with the forces of economics.
Now tarrifs are tampering. If we were able to hurt oil suppliers (OPEC) by raising tarrifs, making oil more expensive for ourselves, and therefore reducing our oil use as people moved to other technologies to move goods and people... (What are those other technologies? One can only do so much with telephones and video conferences.) As I said, if we could hurt the Saudis with this approach it might be worth trying. But the higher prices in the US would hurt the poorest first and would lead to the political take over of the party not in power.
Going to war with Saudi Arabia would do the same thing, put hundreds of thousands of Americans out or work because the cost of oil would go up. While fighting the war, the party in power would be attacked by the other party. (You see right now we are only interested in holding the power of the government, not united for the country.)
Far better to gradually develop enough other sources of energy, (nuclear generated electricity for example) and other providers of oil, (Iraq and Russia come to mind). Then the power that SA holds over us will weaken and we can demand an end to the teaching of hatred for the non-islamic population of the world.
This has been a more in-depth discussion of why raising the cost of oil via tariffs is a bad idea, either gradually, or rapidly.
333 posted on
02/01/2004 9:09:19 AM PST by
KC_for_Freedom
(Sailing the highways of America, and loving it.)
To: KC_for_Freedom
But the higher prices in the US would hurt the poorest first and would lead to the political take over of the party not in power.A gradual increase would result in few dislocations at first, and give the signal to entrepreneurs that now is the time to start investing in new oil exploration, and ultimately, new energy sources or new ways of using energy.
You also mentioned other suppliers of oil besides Saudi Arabia. By all means. A tariff doesn't necessarily have to apply to every importer.
334 posted on
02/01/2004 9:16:33 AM PST by
inquest
(The only problem with partisanship is that it leads to bipartisanship)
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