Has anyone filled up their gas tank lately? Here in Atlanta gas is now under $2 a gallon. Funny how that supply and demand thing works isn't it. The economy tanks (partly due to high gas prices) and the demand goes down. The demand goes down, the price goes down. Works every time.
The bad side of the drop in the price of oil is this will give Speaker Blinky and Jug Hussein Ears cover for reinstating the ban on offshore drilling so they can "save the planet". So, in two or three years when the economy recovers, and world wide demand for oil goes back up, we'll be in the same mess that we were a few months ago. And guess what these bonerheads will say then? "Even if we started drilling now, the oil won't be available for another five years."
Let's not plan ahead. Oh, wait a minute! I forgot. Jug Hussein Ears is the Magic Negro. In five years, due to Poof! PFM!, we'll all be driving electric cars made by the gummint owned Big Three automakers. Unfortunately, since all the coal powered plants and the coal industry will be bankrupted by JHE (which he stated was his intent in an interview), it will require even more Poof! PFM! to provide the electricity for all those gummint made cars.
More good news about the drop in oil is it's making it harder for Senor Tinpot Dictator, Hugo Chavez, and that bonerhead Aramalamadingdong, to finance their trouble making schemes. When most of your economy is based on oil and the price drops, you're screwed.
Hey Putin! How's your economy doing, dude? That drop in oil making it harder to support your military?
To summarize: Economy tanks. Oil prices drop. The scare is over. Back to business as usual. People are even buying SUVs again. We're gonna hear a lot of Poof! PFM! bullshit about electric cars. Meanwhile we won't build any new refineries. We won't increase our domestic oil supply by new drilling. Politicians will be surprised when the economy recovers and demand for oil increases and once again oil prices skyrocket. The oil companies will be blamed and taxes will be raised on them.
Rinse. Repeat.
Posted by denny at November 17, 2008 04:32 PM"Let's not plan ahead" Not if your a Dim/socialist/lib. Their mantra is "immediate gratification". If it doesn't benefit them now, they want no part of it. No patience (for proof, see war on terror posts, energy posts, long term financial endevour posts. At no time do they think in terms of the long haul. Only the present.
And while I'm on a tirade (thanks for the bandwith Denny), has anyone explained to these Fucktards in the auto industry that their businesses are tanking? Last Saturday came home from work and the wife says, you never drive your new Jeep (07 Jeep Commander), why not take it up the road (we have a new Chevy dealership less than 1/4 mile away) and trade it in on a Corvette. She wanted us to have a husband/wife toy. Not a bad idea, since I have many "me" toys like the Harley, dirt bike, 4 wheeler, lots of tools etc. So I go up there and look. The one I want is an 08 convertible with a sticker of 72K. Guy says he'll give me 18K for mine and then I'd finance the rest. First F'ing mistake he makes is he shows no where that he's come down off the freaking sticker. What's up with that? Then he tries to give me 18K for a 15 month old, mint condition vehicle with 9,000 miles and every bell and whistle Chrysler put on that model that I paid 40+k for 15 months ago. Fortunately, I don't have a note on it, and I think they tried to take advantage of that. Anyway, I proceed to ask the guy if her realized there was a possibility his company might not exist in a few months and he played stupid. He told me we could pen in some changes, but I told him unless he's talking about taking 10K right off the sticker and giving me at least 25-28K for mine no deal. He wasn't interested. So if any of you think that the auto industry is genuinely interested in unloading some of their inventory to help with their problems, it seems they're not interested. They'll just wait for my money in the form of a bail out. Ass wipes.
Thanks for the opportunity to bitch. I feel a little bit better now.
Let's not plan ahead? Well, then, why bother with stem cell research?
Posted by: PeggyU on November 17, 2008 08:23 PMYour post is a great illustration of the fact that the brightest and the finest do not enter politics...merely second rate money and power grabbing bums.There are honourable exceptions but by the very nature of their honesty and their danger to the status quo they are veritable outcasts...are they not Gov Palin?
Posted by: thud on November 17, 2008 08:56 PMisn't the political structure of world economics fun?
Posted by: Nick Miller on November 17, 2008 09:36 PMI have said it before, what needs to happen is put in a floor price on oil. Tax at 100% every dollar that imported oil falls below a predetermined price. Then energy alternatives under development will not have to worry that cheap oil will not undercut the investment made in alternatives. BTW the tax will never be collected because no one will import oil at a price that would require it to be subject to the tax.
Posted by: Brad on November 17, 2008 09:43 PMyou know what is as predictable as rain? over reaction. china is using oil, india is using oil, my neighbors both have suvs....fuuuucccckkkkk that means 5we are about to run out. lets bid the shit up 130. or how about this... stocks suck. worldcom sucked enron sucked and JDS Uniphase sucked. I am putting my money in dirt. God aint makin no more dirt. that will appreciate forever.....or how about this recent top 40 hit. banks suck. they arent worth anything, so do bonds. the only thing that does not suck is cash.
over and over again. the same people smoking the same dope from different dealers......all the time. a fool and his money.
Posted by: patrick on November 18, 2008 12:07 AMCan't we burn Clean Corn????
would/could that replace the Coal, and fire up the EconoCarz
and save the "Planet"
Posted by: ty guy on November 18, 2008 01:17 AMInteresting Brad, but how could you fix a tax for the entire world market ?
If not, why would anyone import oil in your country if world prices are below your floor price ?
Patrick, I agree about investing in dirt, but think about this. Eminent Domain. Don't matter how much you have "invested", if Big Brother decides they need that dirt in the interest of the greater good (whatever that means), the dirt is a worthless as GM stock.
Ray - The point I was trying to make was that people overreact all the time. The "dirt" craze started in earnest in 2002 with super low rates and 3 years of a rough stock market. Dirt got bid up WAAAAYY to high... see where we are now. It was about 12 years before that in the days of HUD, RTC, and S/L's that dirt was waaaaaayyyyyyy to cheap and folks got rich.
I'm just saying that everyone is always looking for a silver bullet, they flock to the same things over and over like lemmings off a cliff. stocks, bonds, land....none are perfect none are horrible.
Posted by: patrick on November 18, 2008 09:16 AMI wonder how soon before B. HUSSEIN and the liberal assholes in Congress use this to suck up even more to the anti-American, Chicken Little environazis that help run their party?
Posted by: thatjerryguy on November 18, 2008 09:29 AMPatrick,
I missed your original point, but do agree everyone is always looking for that get rich quick (usually has some consequences) or sure fire investment (no such thing) thanks to the the "ME" society that the libs/dims/socialists have created. However, I still think dirt is the most reliable "long term" investment one can make. I just recently hired a financial planner because at 43 years old with my own booming business I have literally nothing in investments other than my business. He's going to push hard I'm sure for some type of "wall street" tied in investments and I'm likely going to tell him not interested, let's look at property some where.
Oil Prices......
You can bet the farm one of Obama`s first executive decree`s will be to reverse Bush`s which allowed for off shore drilling & exploration. This will be a payback to the environmental wingnut section of the Democratic Party.
This will assure a repeat of the recent Gasoline price runup sometime in the near future repeating the crisis again.
Denny is absolutely right on target with his assessment of what Obama will do & the end result.
Maybe we could then blame Obama`s oil buddies since Bush won`t be around.
Posted by: dudley1 on November 18, 2008 11:27 AMAs I wrote over at Og's place:
"$1.79/gal here in the cheap-gas part of NoVA.
It’s a shame gasoline is so hard to safely store. I’m tempted to buy a 300gal fuel bladder to stick in the back of my Ram 1500 and stock up in anticipation of the price increase sure to come after Jan 20th."
I'm figuring on the same behavior in the White House as Dudley...with the same result.
Sigh. Since he swallows this bullshit hook, line, and sinker, I doubt whether prices will stay low for long.
Posted by: PeggyU on November 18, 2008 07:01 PMGas hit $1.559 here just south of KC.
Posted by: Crucis on November 20, 2008 04:55 PM