NationStates Jolt Archive


Normally hate this guy, but he's got it right on gas and pandering

PsychoticDan
04-05-2006, 17:31
It's sad. I don't know whether these people just don't understand economics or if they are just flat out pandering.

Running on empty on gas prices

Jonah Goldberg: May 4, 2006

I'D PLANNED ON IGNORING the inferno of idiocy raging in the nation's capital over gas prices, but it's looking like an eternal flame.

First came the Democrats. For more than a decade their leading lights have extolled higher gas taxes, and hence higher gas prices, to pay for everything from school roofs to the development of alternative energy sources that would usher in the economic Shangri-La of "energy independence" — whatever that is. "Look how enlightened Europe is! Gas prices there are two or three times ours," they'd holler. In 1993, when the Democrats controlled Congress and the White House and the economy was believed to be in much worse shape, Bill Clinton, Al Gore and the rest of the Democratic leadership pushed gas taxes as the solution to our woes. Now even Sen. Chuck Schumer (D-N.Y.) — who voted for gas tax hikes in 1982, 1990 and 1993 — believes that "high gas prices are going to be the final nail in the GOP's coffin this year." So the Democrats want to repeal federal gas taxes in order to bring the price down at the pump. They say the repeal would only be temporary. No kidding!

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Instead of forming a bucket brigade to put out this bonfire of buffoonery — as is their historical obligation and divine writ — Republican leaders threw their own rhetorical gasoline. The GOP leadership called for the 12th investigation since 1979 into allegations of "price fixing" and "collusion" by American oil companies. These investigations — occurring on average once every three years — have all concluded much the same thing: Market forces determine the price, not some cabal of tuxedo-wearing fat cats.

At a time when a) the second-largest oil producer in the world — Iran — is engulfed in nuclear messianic nationalism; b) Iraq is, shall we say, a somewhat unstable oil producer; c) we have few oil refineries, and many of them are undergoing maintenance that was postponed because of Hurricane Katrina; and d) China's economy grew at an oil-sucking 10% in the first quarter while our own grew at an astounding 4.8%, the brain trust in Washington is stunned, stunned, that gas prices are going up. It must be a conspiracy!

No doubt we can soon expect a major investigation into the disturbing reports that bears are using our woodlands as a toilet.

All of this brings to mind T.S. Eliot's observation that no causes are truly lost because no causes are ever truly won. Although poverty is the natural human condition whose only proven remedy is the market, whenever enough voters get mad at the market, politicians can be counted on to play up popular paranoia about powerful "unseen forces" exploiting ordinary folk.

Why, this week, Rep. Nancy Pelosi (D-San Francisco) even conjured the specter of those old devils, the "robber barons." "Sadly," she declared with barely suppressed glee, "we are now living in a new era of robber barons." Pelosi, who is more of a student of polls and left-wing blogs than history, probably doesn't much care that the modern stereotype of the robber baron as rapacious economic predator is more a product of the collectivist spirit of the New Deal than of the 19th century. "The Robber Barons," an error-filled 1934 tract written by a socialist named Matthew Josephson, was intended to pump up Depression-plagued readers with bile about "economic royalists" blocking social progress. Josephson was inspired by Honore de Balzac's witticism that "behind every great fortune lies a great crime." The statist playbook, it seems, is never out of print.

But we should not blame Democrats too much for their opportunism, cynicism and populism. As the party out of power, they are expected to seize on GOP weaknesses like jackals upon a wounded fawn. And their party is dedicated to the proposition that the state should always meddle when it feels it can do "good," regardless of what it did last year or even yesterday.

It is the congressional GOP that should be booed and shamed from the public square for the harlot it has become. Before the pyre of pandering even ended, the Republicans launched their fire sale, offering to sell off their remaindered principles at bargain basement prices. It was almost like they were paying voters to take their intellectual integrity off their hands. ("We're practically giving it away!")

They even tried to proposition voters with a $100 bribe to stop whining about "obscene" gas prices, rather than point out the real obscenity: overregulation that has kept American oil in the ground and prevented any new refineries or nuclear power plants from being built in 30 years. The $100 gimmick died from terminal boneheadedness, and even the House majority leader conceded, in an all-too-brief flash of sanity, that it was "stupid" and "insulting" to voters.

If this is what we can expect from congressional Republicans during a booming economy, heaven help us when the next recession comes.
Vittos Ordination2
04-05-2006, 18:09
The main problem is the increasing profits of oil companies, which is also not a sign of price fixing or gouging, but nevertheless inspires a lot of kneejerk reactions.
PsychoticDan
04-05-2006, 18:13
The main problem is the increasing profits of oil companies, which is also not a sign of price fixing or gouging, but nevertheless inspires a lot of kneejerk reactions.
I wouldn't call it the main problem. I think the main problems are tight supplies and political tensions in oil producing countries and Amerca's love affair with 80 mile commutes in V-8 engines.

Point taken, though.
Free Soviets
04-05-2006, 18:15
The main problem is the increasing profits of oil companies, which is also not a sign of price fixing or gouging, but nevertheless inspires a lot of kneejerk reactions.

its got the same sort of effect as the bosses getting a huge bonus while they demand the workers take a pay cut.
Vittos Ordination2
04-05-2006, 18:17
I wouldn't call it the main problem. I think the main problems are tight supplies and political tensions in oil producing countries and Amerca's love affair with 80 mile commutes in V-8 engines.

Point taken, though.

I didn't mean the main problem in the cost, I mean the main problem in the reaction.

Increased profits are tied in with increased resource cost. If the oil companies are leveraging themselves up in more expensive crude oil, they are going to need larger profits.

Most people don't look at it from an economic standpoint, however. They just think that Exxon should necessarily make less money if gas costs more. Hense the kneejerk reactions.
Vittos Ordination2
04-05-2006, 18:18
its got the same sort of effect as the bosses getting a huge bonus while they demand the workers take a pay cut.

The Exxon CEO's pension boggles my mind as well. Insanity. I could have guided that company to record profits in the current environment.
Free Soviets
04-05-2006, 18:23
The Exxon CEO's pension boggles my mind as well. Insanity. I could have guided that company to record profits in the current environment.

http://www.commondreams.org/headlines05/images/1027-06.jpg

somebody needs to get that man a top hat and trade out the glasses for a monocle. he's like a walking communist stereotype of capitalism.
Refused Party Program
04-05-2006, 18:25
http://www.commondreams.org/headlines05/images/1027-06.jpg

somebody needs to get that man a top hat and trade out the glasses for a monocle. he's like a walking communist stereotype of capitalism.

Wow. Even his own body hates him. Look at the way his skin is sagging, trying to get as far from his evil, disgusting brain as possible.
Vittos Ordination2
04-05-2006, 18:26
http://www.commondreams.org/headlines05/images/1027-06.jpg

somebody needs to get that man a top hat and trade out the glasses for a monocle. he's like a walking communist stereotype of capitalism.

I'd be stuck with that stupid grin for the rest of my life if some company gave me $400 million dollars for quitting.

Hopefully my neck wouldn't swallow my chin like that, though.
Lunatic Goofballs
04-05-2006, 18:26
How can one of the richest fuckers on Earth look so much like my High School janitor?!? :eek:
German Nightmare
04-05-2006, 18:35
Still it is interesting to observe that whenever there's (a) holiday(s) coming up, gas prices go up as well.

Now, I can see that there is a certain correlation with more demand since people travel more during that/those day(s).

But it's not like the companies couldn't buy in advance. Public holidays shouldn't increase prices by demand because it is known well ahead when they're coming up.

Then, additionally, I can understand why the turnover would increase with rising gas prices. But that wouldn't necessarily mean that profits should increase as well, which they do, so someone's making big bucks and the drivers pay for it. :mad:
Europa Maxima
04-05-2006, 18:43
Wow. Even his own body hates him. Look at the way his skin is sagging, trying to get as far from his evil, disgusting brain as possible.
Too bad some people don't take care of what they are given.
Sadwillowe
04-05-2006, 19:15
How can one of the richest fuckers on Earth look so much like my High School janitor?!? :eek:

Easy access to food
Lack of self-control
Pig-boy


qed
Neutered Sputniks
04-05-2006, 20:48
Too bad some people don't take care of what they are given.

Yeah, it's not like he cant afford a little plastic surgery and/or liposuction... Maybe some Botox?
Snow Eaters
04-05-2006, 21:14
Still it is interesting to observe that whenever there's (a) holiday(s) coming up, gas prices go up as well.



Proven myth.
It's just like the full moon myths.

Everytime you see higher prices before a holiday, people fume and remember it, when they don't, they forget about it and don't think about it.

Studies have proven this with all of the "collusion" investigations.
PsychoticDan
04-05-2006, 21:23
Proven myth.
It's just like the full moon myths.

Everytime you see higher prices before a holiday, people fume and remember it, when they don't, they forget about it and don't think about it.

Studies have proven this with all of the "collusion" investigations.
Actually it isn't. Prices do tend to go up in the summer because of driving demand and in the winter because of heating oil demand.

You're correct, though, in that it's not because of conspiracy or collusion. How can the American oil companies collude to control oil prices when they only control 12% of the world's oil?
Snow Eaters
04-05-2006, 21:30
You're referring to seasonal changes in demand, of course that exists, German Nightmare was, I believe, referring to heading out for a July 4th holiday and seeing higher prices, or Christmas or Memorial day etc. etc.
PsychoticDan
04-05-2006, 22:03
You're referring to seasonal changes in demand, of course that exists, German Nightmare was, I believe, referring to heading out for a July 4th holiday and seeing higher prices, or Christmas or Memorial day etc. etc.
That's true, but actually prices are tied to two holidays - Labor day and Memorial Day. Memorial day is seen as teh start of the Summer driving season and Labor day is seen as the end of it. I don know what you mean, though. It's the psychology of it. For example, people always say that the second oil prices go up gasoline goes up but when oil prices go down prices hang for a while and then go down later. This isn't true at all, either. It's just that when gas goes up people realize oil is up as well but has probably been going up for weeks prior to any jump in gas prices.
B0zzy
04-05-2006, 22:53
The main problem is the increasing profits of oil companies, which is also not a sign of price fixing or gouging, but nevertheless inspires a lot of kneejerk reactions.


No, that is a foolish observation not gounded it fact. The profits of most companies are going up right now. It is normal and healthy. Economies grow. Companies grow. It is good.

The rising prices are not because of rising profits. If anyone is price gouging it is the government - 40c per gallon tax vs 9c per gallon profit.

Meanwhile, the price of all goods is increasing. One brilliant example is wood, concrete and construction materials. The price of housing recently soared along with the profits of homebuilders. Where are all the investigations? Why doesn't congress seem to give a shit?

The answer is simple - The people doing the complaining don't really give a shit about yhou - they only care about their own agenda and fooling as many sheep as they can into doing their dirty work.

No open up and sa "Baaaaa"
B0zzy
04-05-2006, 22:56
Yeah, it's not like he cant afford a little plastic surgery and/or liposuction... Maybe some Botox?


Yea, how you look is so much more important than who you are... :rolleyes:
Jello Biafra
05-05-2006, 16:13
I almost get the impression that Jonah Goldberg really believes the stuff he writes. I don't mean the stuff about the pandering, either.

Yea, how you look is so much more important than who you are... :rolleyes:No, but it's easier for a rich person to improve their looks than to improve their personality. The latter takes work.
Brains in Tanks
05-05-2006, 16:22
He complains that over regulation has caused oil to be left in the ground in America. Isn't that a good thing? Shouldn't be be going, "Zippidy doo-dah, zippidy-ay, the oil in the ground is worth so much more today! Glad we didn't sell it when it was ten bucks, Over-regulation has brought us money in trucks!"