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Discussion Starter #1
The laws of physics dictate that what goes up must come down. If only they applied to the price of gasoline, where myriad factors of another science -- the dismal one -- have suggested otherwise. Prices at the pump across the U.S. are up an average of about 35 cents in the last year, with a worst-case scenario, some economists say, of five dollars a gallon of gasoline if the economic recovery gains enough steam worldwide.

A nexus of several factors beyond the hoped for economic recovery factor into the price rise: monetary policies, environmental regulations, refinery production, low inventories, increased industrialization in third world countries, especially in India and China, all play a part.When prices last spiked in 2007 and 2008, during the Bush Administration, Democrats were quick to find a scapegoat -- one who resided at 1600 Pennsylvania Avenue. In a press conference in May of 2007, then Speaker of the House, Nancy Pelosi (D-Calif.) said, "Drivers are paying a heavy price for the Bush Administration's failure to enact comprehensive energy strategy."

Senate Majority Leader Harry Reid (D-Nev.) added his own view a year later when prices peaked around the four dollar mark, "The Bush Administration's oil-friendly policies have led us down the path of the most significant energy crisis we've had in decades, if not all time."

The press was quick to pounce, too. President Bush was queried more than 20 times by reporters about gasoline prices.By contrast, President Obama has been asked two questions by reporters about the newest spike in fuel costs. But the President's critics suggest that White House policies may play a larger role in the price rise this time than in the previous administration. The Heritage Foundation's, Rory Cooper says, "Obviously the policies of the White House for the past two years have been designed to raise energy prices. Their desire for alternative fuels is led by the fact that they are so expensive, they need gas prices to go up, so that way they can convince consumers that dollar for dollar, to choose a different energy source."

Indeed, the President's choice for Energy Secretary, Steven Chu, told the Wall Street Journal in a 2008 interview, "Somehow we have to figure out how to boost the price of gasoline to the levels in Europe."

Today, gasoline prices in Europe range from $7.24 a gallon in France, to $7.98 a gallon in the Netherlands -- prices that some economists fear could halt the economic recovery taking hold across Europe.

The White House defends its energy policy, which it says strikes a balance between responsible drilling and use of fossil fuels and the need to move towards greener, more environmentally friendly alternative energies.

Dan Leistikow of the Department of Energy says, "We are continuing in the near term to pursue responsible production of our oil and gas resources at home, while at the same time taking historic action to transition to a clean energy economy and reduce our dependence on foreign oil through...vehicle efficiency standards coupled with strategic investments in electric vehicles, bio-fuels and mass transit."

Despite this week's promise by President Obama in a Wall Street Journal op-ed to review all cumbersome federal regulations, many in the oil industry expect to be left out.

"There's a vast amount of oil available to drill for, well in excess of 100 billion barrels," says John Felmy, chief economist for the American Petroleum Institute. But he adds that since the gulf drilling moratorium ended three months ago, only two new drilling permits have been issued, and that new drilling permits are down 88 percent from their historical average.

Read more: http://politics.blogs.foxnews.com/2011/01/19/gas-prices-continue-climb?test=latestnews#ixzz1Ba8B1sGL
 

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Reality check. Washington really plays a very small part in the short term ups and downs of gasoline prices. Yes, drilling permits have an effect over the long haul, but all of the drilling we could possibly do would add less than 1% to the world's oil supply. We are simply entering a world change where developing countries' use of energy is going to climb steadily. That increased demand without the possibility of an equal increase in supply dictates the price will go up. We just have to hope the overall climb is slow and steady rather than a quick jump of a dollar or two.
 

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Discussion Starter #3
Reality check. Washington really plays a very small part in the short term ups and downs of gasoline prices. Yes, drilling permits have an effect over the long haul, but all of the drilling we could possibly do would add less than 1% to the world's oil supply. We are simply entering a world change where developing countries' use of energy is going to climb steadily. That increased demand without the possibility of an equal increase in supply dictates the price will go up. We just have to hope the overall climb is slow and steady rather than a quick jump of a dollar or two.
:laughing: Reminds me of Clayton Williams.. "It's like rape, if it's inevitable, just lay back and enjoy it".

Gas hits $4, this depression becomes a crisis..
 

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World recovery, and increased demands around the world will drive up oil prices. The weakening dollar will compound that affect here in the U.S.

None of this should be a surprise.

Administration policies will have a long term affect on whether it comes down, and by how much (if anything) in the future.
 

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Gas hits $4, this depression becomes a crisis..
I agree. Give me a plan that will prevent it. Oil is a world commodity, and we only control a small part of it's trade. What can we realistically do that will keep the price of oil from rising in the next 12 months if that is what the market would do to it otherwise?
 

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Discussion Starter #6
I agree. Give me a plan that will prevent it. Oil is a world commodity, and we only control a small part of it's trade. What can we realistically do that will keep the price of oil from rising in the next 12 months if that is what the market would do to it otherwise?
Nothing. We can't realistically do anything to stop the inevitable. Apathy prevents real corrections in policy. We are told the recovery is driving the prices, what recovery? :laughing: The only recovery is happening in China and India.. what will $4 or $5 gas do in the US?

"It's like rape, if it's inevitable, lay back and enjoy it".
 

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Nothing. We can't realistically do anything to stop the inevitable. Apathy prevents real corrections in policy. We are told the recovery is driving the prices, what recovery? :laughing: The only recovery is happening in China and India.. what will $4 or $5 gas do in the US?

"It's like rape, if it's inevitable, lay back and enjoy it".
Well, if the only recovery taking place was in India and China, that woule be about 1/3 of the earth's population. But it also includes most of the non-Western countries including much of S. America. Basically, a few billion people are being lifted out of dire poverty into an emerging industrial age for the developing world. Enormous changes are going to occur in the world in the next 20 years, and much of it will revolve around energy for these awakening countries. I guess we could wish the rest of the world would stay in dire poverty so that we could keep $2/gal gasoline, but it wouldn't change much, would it?:cheers:
 

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I agree. Give me a plan that will prevent it. Oil is a world commodity, and we only control a small part of it's trade. What can we realistically do that will keep the price of oil from rising in the next 12 months if that is what the market would do to it otherwise?
There is a way, but it won't happen.
1: Mandate (by law) all oil produced in the U.S. and all oil from US owned leases be refined and used in the U.S., instead of just going into the world oil spigot.

2: Immediately allow all permits for oil development in all U.S. territories to develop and produce new oil.

3: Remove this oil from the commodity trading market.

:laughing:
 

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Wow, what??? The world has been Anglo-centric for at least the last 250 years. Either Britain or America had a gigantic influence on the way the world at large developed. That day is ending, my friend. It won't happen suddenly, and America will still have outsized influence for years to come. But other countries are taking hold of their own fate, and our ability to influence will diminish over the next 20-30 years. We can cry in our beer or we can figure out the best way to prosper in the world as we find it. But longing for the powerful post-WWII America that could have it's way anywhere any time is truly a waste of time. I don't believe it's in our best interest to put our heads in the sand and hope nothing changes.
 

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Sure is funny how the media pretty much nailed GWB balls to the wall over gas prices 2 years ago. I do not hear any outrage blaming Obama policys causing gas prices to rise:spanked: or what he is going to do about it:crazy:

Oh yea I forgot, his plan is to cut back on coal production (thru regulation) and make gas seem cheaper than electricity:D
 

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Discussion Starter #12
Wow, what???
:laughing: Wow.. jes *wow*

Simple supply/demand is what drives prices. I remember the peak oil scam in the 70's and 80's. Then boom, we start extracting and oil is about $10 a barrel. Peak oil is a myth, "all the easy oil is gone" is a myth, "Alternative energy" is a myth (unless someone raises Nicola Tesla from the grave).

So it's time to put the enviroweenies back in their cribs, and get to extracting.
 

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:laughing: Wow.. jes *wow*

Simple supply/demand is what drives prices. I remember the peak oil scam in the 70's and 80's. Then boom, we start extracting and oil is about $10 a barrel. Peak oil is a myth, "all the easy oil is gone" is a myth, "Alternative energy" is a myth (unless someone raises Nicola Tesla from the grave).

So it's time to put the enviroweenies back in their cribs, and get to extracting.
I mostly agree. I do think all of the "easy" oil is gone. But we are getting better and better at getting the 2nd tier oil.

There is a way, but it won't happen.
1: Mandate (by law) all oil produced in the U.S. and all oil from US owned leases be refined and used in the U.S., instead of just going into the world oil spigot.
Like you say, that really won't work. There is no spigot, and most domestically produced oil stays here anyway. Over half of our oil is imported, so not much of ours actually makes it out of the country. There is simply no way to separate our oil from the world oil commodity market as far as price is concerned. :thumbsup:
 

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I, for one, wish that GW Bush and his Saudi cronies would stop driving up the price of oil at the expense of us lowly people. I mean, didn't he make enough money off those wars for oil when he was in command?
 

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I, for one, wish that GW Bush and his Saudi cronies would stop driving up the price of oil at the expense of us lowly people. I mean, didn't he make enough money off those wars for oil when he was in command?
Evidently, it worked too good. The new hopey changy guy has kept up all the Bush policies he supposedly hated... and doubled down on the worst ones.. :laughing:
 

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I, for one, wish that GW Bush and his Saudi cronies would stop driving up the price of oil at the expense of us lowly people. I mean, didn't he make enough money off those wars for oil when he was in command?
I've seen where Bush lives. It's nice, but if he was a despot on the take from the Saudis, he wasn't very good at it. :laughing:
 

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This rate has outpaced the fed deflated dollar.

The dollar is not that bad off right now.


This is recovery/demand speculation driven.


We are seeing a run-in all over again.
 

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Not that it really matters on this forum. There are not a lot of Corvette owners choosing between gas and groceries, like the average American.

Until the feds are doing EVERYTHING they can to lower prices, only the poor will be screwed.
 

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Until the feds are doing EVERYTHING they can to lower prices, only the poor will be screwed.
Bingo.

When you don't make sure production keeps pace with demand, bad **** happens. And demand increase has outpaced production increase for years now..

Some of the zombies will say "commodity, global market" just tell em horseshit. :thumbsup:
 
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