Question
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Economy & Indicators
$4 a gallon and keeps rising every single day. Time has come my fellow SodaHeads...
TO START POINTING FINGERS!
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PS. I didn't give the option "None of the Above" or "Undecided" in purpose. Just select your best answer.
TO START POINTING FINGERS!
---------------------
PS. I didn't give the option "None of the Above" or "Undecided" in purpose. Just select your best answer.
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Answered No one. This is just the free market and the natural laws of supply and demand in effect.
None of these answers are totally correct. Check out, http://www.unionleader.com/ar... for a great editorial from the New Hampshire Union Leader, it really hits the nail on the head.
Hitting rock: Dems oblivious on oil
Saturday, Jul. 12, 2008
MAYBE THE quickest way to lower oil and gas prices would be this: Immediately enroll every Democratic member of Congress in an entry-level economics class.
The lack of even a basic grasp of economic concepts has led Democrats to oppose sensible policies that would begin to lower oil and gas prices. Instead, they push hair-brained ideas that make no sense.
Senate candidate Jeanne Shaheen howls incessantly about speculators. She claims that speculators trading on electronic exchanges and overseas are driving up the price of oil and if only we cracked down on them the price would fall.
But here is what Walter Lukken, chairman of the Commodity Futures Trading Commission, said about that idea last week: "We haven't evidence that speculators are broadly driving these prices."
To the extent that futures trading is increasing prices, the major culprits are not unregulated traders, as Shaheen keeps saying. The real problem is that with demand continuing to outstrip supply, traders see no end to rising prices. The value of a barrel of oil today stays high because traders believe it will be more valuable in the future.
Any step Congress takes to produce a large increase in future supply -- opening the outer continent...None of these answers are totally correct. Check out, http://www.unionleader.com/ar... for a great editorial from the New Hampshire Union Leader, it really hits the nail on the head.
Hitting rock: Dems oblivious on oil
Saturday, Jul. 12, 2008
MAYBE THE quickest way to lower oil and gas prices would be this: Immediately enroll every Democratic member of Congress in an entry-level economics class.
The lack of even a basic grasp of economic concepts has led Democrats to oppose sensible policies that would begin to lower oil and gas prices. Instead, they push hair-brained ideas that make no sense.
Senate candidate Jeanne Shaheen howls incessantly about speculators. She claims that speculators trading on electronic exchanges and overseas are driving up the price of oil and if only we cracked down on them the price would fall.
But here is what Walter Lukken, chairman of the Commodity Futures Trading Commission, said about that idea last week: "We haven't evidence that speculators are broadly driving these prices."
To the extent that futures trading is increasing prices, the major culprits are not unregulated traders, as Shaheen keeps saying. The real problem is that with demand continuing to outstrip supply, traders see no end to rising prices. The value of a barrel of oil today stays high because traders believe it will be more valuable in the future.
Any step Congress takes to produce a large increase in future supply -- opening the outer continental shelf to drilling, for example -- will reduce current prices. If there will be a lot more oil 10 years from now, a barrel of oil today loses some of its investment value, and its price falls.
As Harvard economics professor Martin Feldstein wrote in The Wall Street Journal on July 1, "Increasing the expected future supply of oil would also reduce today's price. That fall in the current price would induce an immediate rise in oil consumption that would be matched by an increase in supply from the OPEC producers and others with some current excess capacity or available inventories."
This is pretty basic stuff. And yet Democrats are oblivious. They adamantly oppose more domestic drilling, claiming that it won't affect prices for decades. Clearly, they have yet to grasp the basic concepts of supply and demand.
Then there is Rep. Carol Shea-Porter's pet policy: forcing oil companies to drill on land they already lease. Economists and oil industry experts have roundly criticized this proposal as completely useless. It would force oil companies to drill speculatively or where there is no or little oil -- or into oil wells that are already tapped! Meanwhile, she refuses to let them access America's largest untapped oil reserves.
The solution offered by Sen. Barack Obama and other Democrats: Impose a windfall profits tax on oil companies. But of course, that will do nothing to increase the supply of oil or reduce demand.
Because the party that controls Congress has no idea how the economy works, it looks like we are going to be stuck with high oil and gas prices for a long, long time.(less) -
Answered The falling dollar because oil is priced in US dollars. So when the dollar falls, it allows other countries to buy more oil which drives up demand and prices.
Specualtion... Speculation - The oil is disappearing - Chicken Little Speculators GUESSING/BETTING on the next world crisis. -
Answered OPEC and Big Oil - conspiring together so that they can rake in even bigger, record-breaking profits this year than ever before.
I THINK THE WHOLE SITUATION PRETTY MUCH SPEAKS FOR ITSELF, NEVER MIND THE CONSPIRACY THEORIES IN THE REAL WORLD SAUDI ARABIA HAS JUST GOT MORE GREEDY, AND THINK OPEC HAS GOT ITS OWN AGENDA ON THIS ISSUE AS WELL, I CAN'T BELIEVE HOW MUCH THE PRICE OF FOOD HAS GONE UP SO QUICKLY, I HAVE REALLY HAD TO TIGHTEN MY PURSE STRING SO THAT I CAN AFFORD TO PAY MY BILLS AND BUY FOOD SUPPLIES, THE RICH ARE GETTING RICHER OFF THE BACKS OF THE MANY WHO ARE LIVING JUST BENEATH THE BREAD LINE, SHAME ON THEM. -
Answered The falling dollar because oil is priced in US dollars. So when the dollar falls, it allows other countries to buy more oil which drives up demand and prices.
It is a combination of things but the global banksters are the root cause. Bush, Cheney and Big Oil have also helped keep prices us higher than need be. -
Answered OPEC and Big Oil - conspiring together so that they can rake in even bigger, record-breaking profits this year than ever before.
It's U.S. fault for not being able to see 30 yrs ago that we needed to find an alternative to oil and stop dealing with OPEC. The funny thing is that Brazil, a "third world country" has been running off of Ethanol for 30 years--thus kicking OPEC to the curb....
...but oh no, not the U.S. It's like the U.S. is constantly stuck on stupid and EVERYBODY ends up paying for it.
Hopefully you can view this link if you have a Facebook acct.
http://www.facebook.com/profi... -
Answered Emerging countries like China and India - whose need for oil has increased dramatically in just the last year or two. They are buying every barrel they can lay their hands on.
that and Jimmy Carter. had he not sold the Panama Canal, we would be better off. -
Answered Emerging countries like China and India - whose need for oil has increased dramatically in just the last year or two. They are buying every barrel they can lay their hands on.
even though you didn't give a none of the above, I'm going to give it to you anyway...you left out the most important factor...the EPA...we really need new refineries & with all the regulation, we can't seem to get any built. -
Answered We the consumer - who choose to buy gas guzzling SUV’s instead of using public transportation or buying a smaller, more fuel friendly car.
if people dont chose to switch to fuel efferent cars they are the ones to blame
it may cost more to buy but its much cheaper in the long run of things! and if you say its the oil company's fault then well your just doing what they want you to do; not have fuel efferent cars and keep having to buy there product. thats what anyone wants! so dont blame the ones your pervading if you stop pervading them they go out of business so dont give them money dont go to that gas pump and dont provide for them by doing that!! -
Answered The falling dollar because oil is priced in US dollars. So when the dollar falls, it allows other countries to buy more oil which drives up demand and prices.
bush's an his buddies with his failed policies are the reason we are in this mess.......bush doesn't care ..he an his friends are getting rich while the rest of this country suffers.......wake up -
Answered No one. This is just the free market and the natural laws of supply and demand in effect.
We the people, who have allowed the reigns of our energy dependent lives, to be brandished by others. I don't like the feel of spurs in my sides, nor the sting of the crop and lash. I'm not so fond of the blinders either. -
Answered No one. This is just the free market and the natural laws of supply and demand in effect.
Well, going by strictly profit margin, which is exactly how a business normally operates, Big Oil is not gouging. At around 10%, it is one of the lowest rated major industries in this category, especially when compared to the whopping 70% the gougers in pharmeceuticals are raking in.
In the political arena, it is BOTH parties. Each party tries to solely blame the other, its ridiculous. Republicans have never pushed auto manufacturers or consumers to conserve and Democrats refuse to let America use its own natural resources. The first run the supply dry while the second will not allow us to get more. -
Answered Emerging countries like China and India - whose need for oil has increased dramatically in just the last year or two. They are buying every barrel they can lay their hands on.
The supply and demand is way off. The supply that is there right now, is owned by countrys that hate us. So, they don't care about cutting us a break. We need to drill for oil here, and now! We also need to expand nuclear energy and solar. We have to get it together. No one is coming to our rescue. We have to help ourselves. -
Answered No one. This is just the free market and the natural laws of supply and demand in effect.
This is the best answer I can come up with. However, it should not say "no one" it shoud say "everyone". The market is driven by the oil companies, OPEC, the almighty doller, China, India (et al), and the consumer. There is plenty of oil to go around. Do you realize that there are very large oil fields under Alaska, and Shale oil in the Colorado Rockies that would cost the same but actually (to my knowledge) lasts longer!!! Also, car companies. These large corporations invest billions of dollars to protect their asses in a financial downfall. GMC, BMW, Toyota, have all created alternate fuel cells like Hydrogen cars, water cars, you name it. Is it a surprise that with stock prices of oil companies increasing with their profits that car companies don't roll out these alternative fuelled cars. NO! They are making money becuse we, the consumer, continue to buy the current cars and will continue to buy gasoline and oil becuase we think we need it. Key word "THINK"
This is the best answer I can come up with. However, it should not say "no one" it shoud say "everyone". The market is driven by the oil companies, OPEC, the almighty doller, China, India (et al), and the consumer. There is plenty of oil to go around. Do you realize that there are very large oil fields under Alaska, and Shale oil in the Colorado Rockies that would cost the same but actually (to my knowledge) lasts longer!!! Also, car companies. These large corporations invest billions of dollars to protect their asses in a financial downfall. GMC, BMW, Toyota, have all created alternate fuel cells like Hydrogen cars, water cars, you name it. Is it a surprise that with stock prices of oil companies increasing with their profits that car companies don't roll out these alternative fuelled cars. NO! They are making money becuse we, the consumer, continue to buy the current cars and will continue to buy gasoline and oil becuase we think we need it. Key word "THINK"
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Answered OPEC and Big Oil - conspiring together so that they can rake in even bigger, record-breaking profits this year than ever before.
Our government has created the perfect storm of conditions to cause this crisis by playing at foreign policy with a corporate agenda in mind. Thank George HW Bush and Reagan for most of our dependency on OPEC and the middle east. They have us by the balls! -
Answered OPEC and Big Oil - conspiring together so that they can rake in even bigger, record-breaking profits this year than ever before.
They are the biggest culprits, but if you had an answer of all of the above, I would have chosen that. It is a combination of reasons. -
raves +1
![Laura [Mrs. Ninja]](http://images.sodahead.com/images/profiles/0/0/0/3/7/4/2/6/2/profiles_IMG0523_2635_940427_media_small.jpeg)
Answered Emerging countries like China and India - whose need for oil has increased dramatically in just the last year or two. They are buying every barrel they can lay their hands on.
Back off. I am addicted to oil.