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Thursday, November 27, 2008
Richard Olivastro :: Townhall.com Columnist
Gasoline, Oil and the Economy
by Richard Olivastro
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Will the Dems' health care Christmas Present to America be an improvement or detriment to our health care system?


Gas prices have been heading down.  That’s the right direction.

AAA reports the “average price per gallon is below $2.00 in 30 states”.  That’s a good sign.

If the price decline levels off closer to one dollar per gallon, Americans will know that the industry and foreign suppliers have regained their collective senses; and the speculators have been routed out. 

But, one wonders if the industry soothsayers - while saying “it is certainly feasible to see prices of 1.60 to $1.70 in the next few weeks” – would really prefer a brake to the price drop, that consumers feel is, to them, a needed break.

At the peak, Americans were paying well over $4.00 per gallon on average nationally. This week, the average price per gallon is running just under $2.00.  As a result, consumers are starting to feel like they can breathe again.

Despite the current gas price relief, growing numbers of Americans remain wary of domestic gasoline supply, gas prices, and fear for their economic future.  They are wary of the OPEC nations, who can throttle supply on political whim; and, they fear that, should they lose their job, how will they be able to buy food, gas, and pay for their home. 

Their worry is understandable.  Perhaps, it is also wise - if their worry serves as a catalyst for demanding specific action by elected officials.

Consider this:

While growing numbers of Americans are overwhelmed with worry, politicians in Congress continue to fiddle with the oil reality while the American economy burns up. 

So-called liberal incumbent’s ‘stuck in the mud thinking’ keeps our nation exposed to foreign manipulation of oil supplies.  If the American people do not, somehow, drag elected officials out of their muddy thinking now, the economic deterioration not only  will continue – it will accelerate. 

So, what to do? 

America’s citizens should demand real change regarding oil policy by officials – elected or appointed – at every government level.  Continued...

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About The Author
Richard Olivastro is a professional member of the National Speakers Association, president of People Dynamics, an executive leadership development company, and founder of Citizens For Change.
 
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MIke NY

Yes Mike all that you said is true but its not gonna happen anytime soon.

We don't manufacture because we are not competative. Its really that simple.

Taxes, license fees, energy costs, education, regulations, mandates, lawsuits all play a factor in why we are not competative.

Liberals want high taxes.

Liberals refuse to reduce energy costs.

Liberals demean working jobs so schools focus is on college educations.

Liberals want more regulations not less.

Liberals mandate affirmative action, Family medical leave, workplace safety, so manufacturers just move manufacturing jobs overseas where they don't have such mandates.

Liberals refuse to accept any serious tort reform so lawyers are running rampet in the courts.

Bottom line is dark skin Mexicans don't take their employer into federal court because a light skinned Mexican got promoted to supervisor.

Female South Koreans don't sue their employer because Male South Koreans have a Playboy picture hanging up in the locker room.

We have oil, we're not running out
We have more kerogen in Utah, Colorado, and Wyoming oil shale than all the oil resources past present and future in the Middle East. We have vast resources in the Bakken formation in Montana and North Dakota, on par with the reserves of Saudi Arabia. We've only explored 5% of the ocean floor, oceans which cover 75% of the earths surface. We aren't running out of oil, in fact we've only begun to use this resource. We've got over 500 years of coal in current reserves.
Resources are known deposits, reserves are resources that can be developed using existing technology in the next 30 years (think about what things were like 30 years ago, and rest assured we will be quite advanced in 30 more), proven reserves are resources that we are producing today. Don't get confused by terminology.
I live in a solar house, the sun doesn't always shine. The wind doesn't always blow. Rely on those things entirely and you better plan on keeping a flashlight next to your bed, it will be dark at some point when the kids cry or you need to make a trip to a little room. Solar cells don't last much more than 25 years before they have to be replaced, wind turbines have their flaws and useful life as well. Oil prices went through the roof when speculators became 70+% of the commodities market and real oil buyers dropped to 30%, the inverse of the oil commodities market 10 years ago.
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