Saturday, May 24, 2008


I am back after a short hiatus and the first thing I have to say is.
It is not the governments job to make sure you have low gas prices! (btw neither is it their job to bail you out of the mortgage you can not afford but that is another story)
High Gas prices are a result of a basic economic fact SUPPLY and DEMAND.
So quite your whining and junk the gas guzzling Hummer.
Worldwide oil is usage has increased as many formerly third world countries embrace capitalism and climb into the modern world. Meanwhile production has not increased significantly.
So price controls are not the answer and neither is socia...... I mean taking over the oil companies as suggested by Senator Maxine (I"m a commy) Waters. Nor should we tap the strategic reserves to increase supply . Lower gas prices is not a "strategic "reason.

And let's stop blaming oil companies for high profits. First their profit margin is smaller the Microsoft's. In fact it is only average. Besides we own these companies. If you are in a pension fund or mutual fund, IRA, Keough etc.... you probably own oil company stocks. You want them to male a lot of money stupid!

To lower gas prices we either have to increase supply or decrease demand. We can do something about the demand end. Stop driving gas Guzzlers. I live in the Northeast where half the people drive gas guzzling SUV's to drive the Parkway to work or worse yet go to the grocery store. (go out west where it would make sense to have 4 wheel drive and you see a lot less of them). So as a conservative I am telling you that conservation would help the problem.

The other end of the equation is Supply. In spite of what I said above the Government can make a difference here if we let them. There is a lot of untapped oil that we could tap into which would increase supply. Not only in ANWAR but off our coasts. If we let the oil companies go after it we could have our lower prices. We also need to let more refineries be built and start building nuclear power plants again.

These moves towards energy independence (conservation, more domestic production and alternate energy sources) will not only lower the price at the pump will not only lower prices but enhance our national security. That is right If you are driving one of those Hummers you are part of the reason we are embroiled in conflicts in the Mid East. If we did not need their oil do you think we would be as interested in what goes on there.

Now I will defend your right to drive a Hummer (or other gas guzzler). That is what economic freedom is all about. JUST STOP WHINING!

P.S. Other facts of interest relted to this post.. 1. an average of 40 cents per gallon of Gas is taxes (depending on where you live it can be higher or lower) 2. The cost of Gasoline in England is 10 dollars a gallon as of yesterday. 3.France gets 70% of its energy from Nuclear power.

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