Price of gas no longer a political issue in US?

[DanS]

Hey, I'm with you Micah. The oil markets are not prone to manipulation in the long run. However, I do find it curious that all of this is coming together right before a presidential election.

[Ned]

Micah, excellent post and right on. Kerry and his leftist crew are largely responsible for high gas prices in the US. That is why they cannot make an issue of them.

[GePap]

How could you people forget?

[Kontiki]

Originally posted by Micah Goodman


You can increase the supply but with out increasing the ability to refine you haven’t really accomplished anything.

And finally, Senator Kerry and others have blocked President Bush’s energy plan in Congress. Among other things it would open up ANWAR (Alaskan National Wildlife Refuge) to drilling. More drilling means more supply which in turn leads to lower prices. We could also drill off of the east coast, west coast, and Florida but residents in those states don’t want too. That’s fine with me but don’t come complaining when your heating oil price hits the roof this winter.

Hmmm...contradiction within the same post. And of course Ned immediately blames Kerry for the rise in oil prices. Shocked? Not at all.

[Kidlicious]

Originally posted by JohnT


That is so demonstrably false as to be near incoherent.

You obviously need more explaination since your economics is so weak. See there's a concept, really simple actually, called the law of diminishing utility. Higher gas prices don't affect rich people's utility as much so they aren't concerned with them.

Rockhead!

[alva]

Originally posted by DanS
Hey, I'm with you Micah. The oil markets are not prone to manipulation in the long run. However, I do find it curious that all of this is coming together right before a presidential election.

Sure you agree, 'twas you who wrote the post in the first place.

[Dauphin]

Originally posted by Kontiki

You can increase the supply but with out increasing the ability to refine you haven’t really accomplished anything.

And finally, Senator Kerry and others have blocked President Bush’s energy plan in Congress. Among other things it would open up ANWAR (Alaskan National Wildlife Refuge) to drilling. More drilling means more supply which in turn leads to lower prices. We could also drill off of the east coast, west coast, and Florida but residents in those states don’t want too. That’s fine with me but don’t come complaining when your heating oil price hits the roof this winter.

Hmmm...contradiction within the same post. And of course Ned immediately blames Kerry for the rise in oil prices. Shocked? Not at all.

Oil prices act on perception as much as anything else. Declare you are increasing supply and the price of crude will fall. The flip side is that in physical terms you aren't doing anything to increase things such as petrol pump supply, because there is still the potential bottle neck.

[Kontiki]

Originally posted by Dauphin


Oil prices act on perception as much as anything else. Declare you are increasing supply and the price of crude will fall. The flip side is that in physical terms you aren't doing anything to increase things such as petrol pump supply, because there is still the potential bottle neck.

Oh, of course. I just found it funny that within the span of one post, the author could declare that increasing supply won't do anything and then blame Kerry and others for not agreeing to increase supply.

[Kidlicious]

The only way oil prices are going to plummit in November is if there is a world wide depression. All the oil producers are expecting world economic output to fall. The're not going to increase production.

[Ned]

Originally posted by Kontiki


Hmmm...contradiction within the same post. And of course Ned immediately blames Kerry for the rise in oil prices. Shocked? Not at all.

Hey, Kerry and his fellow Marxist-Environmentalists have consistently blocked both the construction of refineries and the drilling for oil in the US.

Deny that if you will.

[Ned]

Originally posted by Kidicious


You obviously need more explaination since your economics is so weak. See there's a concept, really simple actually, called the law of diminishing utility. Higher gas prices don't affect rich people's utility as much so they aren't concerned with them.

Rockhead!

Kid, you are indubitably correct. The high gas prices advocated and caused by the wacko-Marxist-environmentalists directly hurt mostly the poor and less affluent.

[Ned]

Originally posted by Kidicious


The only way oil prices are going to plummit in November is if there is a world wide depression. All the oil producers are expecting world economic output to fall. The're not going to increase production.

Ah, the election of Kerry just might be the spark the world economy needs to obtain lower oil and gas prices!

[Kidlicious]

A whole hell of a lot of it has to do with the weak dollar too.

[Imran Siddiqui]

You obviously need more explaination since your economics is so weak. See there's a concept, really simple actually, called the law of diminishing utility. Higher gas prices don't affect rich people's utility as much so they aren't concerned with them.

Um... that isn't exactly true, as JohnT pointed out. I wonder why Asian cars totally dominated the market in the early 80s? Everyone wasn't poor, so why did people buy the less gas guzzling car? Because the price matters, at least in the long run.

You usually have a steep demand curve with gasoline in the short run and a much flatter demand curve in the long run (It's an elasticity problem). If gas prices rise high, poor as well as rich will end up getting the cars that use gas less, even if they cost more in the short term.

The law of diminishing utility usually applies to those things that increase utility, so the more you got, the less the last unit will be worth to you (compared to the first unit). It doesn't really work that well in the gas market. Even though each dollar at a certain amount is worth as much as each dollar made at less than that amount, it still has value and increased gas prices taking money away still is important, especially since every business must deal with it in some fashion.

[Dauphin]

Imran you rockhead, don't argue with Kid, it can be detrimental to your sanity.