Thread: Gas Prices Are High Because the Liberals Want It that Way

Vision to America


Written on May 12, 2011 at 12:42 pm by V2A
Gas Prices Are High Because the Liberals Want It that Way
Filed under Business, Economics, Environment {158 comments}
high gas prices

High gasoline prices are not a cause of the current economic recession, they are an avoidable and unnecessary symptom of liberal environmental and economic policies. When President Barack Obama took office the price of gasoline was $1.83 per gallon. Today it’s over $4.00. Understanding why that is so will give you insight into the patient game plan of the fossil-fuel-hating, combustion-engine-despising, environmentally obsessed left.

The high price of gas is not simply a function of the cost of crude oil. There are many causes for the $4.00 we are currently paying for a gallon of gasoline. Of that $4.00, taxes account for 52 cents, distribution and marketing about 32 cents, refining 56 cents, and the cost of crude oil $2.60. By the mid-20th century, oil was surpassed only by income taxes as the largest generator of revenue for the U.S. government.

Clearly, the biggest portion of the $4.00 you pay goes to the crude oil suppliers. This is where supply and demand takes over. The price of crude oil is determined by the world’s oil-exporting nations, particularly the Organization of Petroleum Exporting Countries (OPEC). OPEC is responsible for over 40% of the world’s crude production. In 2001, when OPEC reduced its production by 1 million barrels a day, gas prices in the U.S. skyrocketed to $1.71 per gallon. When it increased its production in 2005, gas prices dropped.

The United States is actually the third-largest producer of crude oil in the world, but we still import nearly 40% of our crude oil demand, mainly from Canada, Mexico, Saudi Arabia, Nigeria, and Venezuela. But here is where life becomes quite simple. The more crude oil we produce domestically, the less taxes we heap on a gallon of gasoline, the fewer hurdles and blends we require of domestic manufacturers, the less we pay for gasoline. U.S. domestic oil production peaked way back in 1970, and by 2005, imports were twice that of domestically produced crude oil.

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Kathyet

Can you see it coming? Soon this burden on the poor will be met with the sympathy of the government. There'll be energy stamps in the form of a credit card like food stamps. Local government here has already put a mandatory"donation" in our utility bill for energy assistance. No they don't assist me, but I pay it.

The liberal media tried to bury this story as quick as Energy Sec. Chu suggested unleaded prices would solve our energy problems forcing people to buy alternative energy cars and sub compacts. Well that dog don’t hunt, this is America, not Europe. I think Obama ran for office in the wrong country because beyond food, wine, tourism and other Euro products the majority of us don’t envision Euro anything. Especially $7 gas. When unleaded hit $3 a gallon many people began to cut back on spending because they spent a fortune just to commute to work and travel daily.

Interviews with Chu help to explain why the Gulf is in slow motion while oil rigs corrode waiting on the multi-tasker in chief to grant permissions again. Democrats want to punish American success with a forced move towards cars that aren’t deemed reliable as of yet. While to early adopters and the wannabee seen types will buy electric cars now, they’ll soon find the costs are higher than just the cost of electricity. Steven Chu thinks we can make this shift in 5 years while most Americans will wait and see. Economies of Scale will reduce manufacturing costs as more people buy alternative energy cars but the fact remains, till such cars can travel 300 miles or more on a single charge and or companies produce larger vehicles, the majority will sit on the sidelines. And of course the majority can’t afford to switch cars every year so expect 2 decades till we see a major decline in gas powered cars…………before then we’ll need more power plants but nuclear is out all thanks to enviro-fascism coming from the left. Solar and wind will take time to develop and Chu wants us to pay more now. Looks more like a get rich scheme wrapped around a specious plan to reward their own success with our money. R&D takes time, throwing more money around won’t speed up inovation, especially when the money comes from the people via Obama policy. And I thought Obama said “no new taxesâ€

Wasn't O-blah-blah quoted as saying "I can't wait for gas to go up to $5-$6 a gallon."? He's sure as hell making it happen.

Keep going O-balh-blah, keep pissing off enough of us to ensure you don't get a second term to finish us off.

I can just picture it, gas prices thru the roof and he and the first beoch jetting all over, campaigning for relection, without a care in the world. Americans will barely be able to afford gas to drive to work, but we're forced to pay for his and the missus' jaunts. *Oh yeah, I see a 2nd term *sarcasm off* for him.

If the price doesn't come down substantially in the near future it could really hurt Obama. I think the gas price issue could be a big positive for a presidential candidate that comes up with a plan, and promises to initiate it if elected.

In an article I read this morning in my local paper, over 60% of the worlds gas supply is controlled by the speculators.