Big Government Responsible for High Gas Prices

[Frenchy]

Big Government Responsible for High Gas Prices

In the past few months, American workers, consumers, and businesses have experienced a sudden and dramatic rise in gasoline prices. In some parts of the country, gasoline costs as much as $4 per gallon. Some politicians claim that the way to reduce gas prices is by expanding the government’s power to regulate prices and control the supply of gasoline. For example, the House of Representatives has even passed legislation subjecting gas stations owners to criminal penalties if they charge more than a federal bureaucrat deems appropriate. Proponents of these measures must have forgotten the 1970s, when government controls on the oil industry resulted in gas lines and shortages. It was only after President Reagan lifted federal price controls that the gas lines disappeared.
Instead of imposing further restraints on the market, Congress should consider reforming the federal policies that raise gas prices. For example, federal and state taxes can account for as much as a third of what consumers’ pay at the pump. The Federal Government’s boom-and-bust monetary policy also makes consumers vulnerable to inflation and to constant fluctuations in the prices of essential goods such as oil. It is no coincidence that oil prices first became an issue shortly after President Nixon unilaterally severed the dollar’s last link to gold.

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Government Responsible for High Gas Prices

[xds&chevys]

hmmm....Interesting

[jmichna]

...Proponents of these measures must have forgotten the 1970s, when government controls on the oil industry resulted in gas lines and shortages. It was only after President Reagan lifted federal price controls that the gas lines disappeared.
Instead of imposing further restraints on the market, Congress should consider reforming the federal policies that raise gas prices. For example, federal and state taxes can account for as much as a third of what consumers’ pay at the pump.

I'd bet if we eliminated all the regional "boutique" blends (in favor a small handful of national blends), we'd see significant savings in fuel refining, storage and shipping, with resultant lower prices at the pumps as well.

[Frenchy]

Regulators and environmentalists both need to know in the strongest terms, that they are either part of the solution or part of the problem.
Blaming Big Oil just won't hack it anymore. You either want to divorce yourself from foreign oil, or you don't.

[Pharmakon]

Some politicians claim that the way to reduce gas prices is by expanding the government’s power to regulate prices and control the supply of gasoline. For example, the House of Representatives has even passed legislation subjecting gas stations owners to criminal penalties if they charge more than a federal bureaucrat deems appropriate. Proponents of these measures must have forgotten the 1970s, when government controls on the oil industry resulted in gas lines and shortages. It was only after President Reagan lifted federal price controls that the gas lines disappeared.

The definition of insanity.

[Brickboy240]

I've told you all that for quite some time.

Something to consider: if you look at the balance sheets for most oil companies (and not get tunnel vision on the profit number) you will see that most all oil companies paid more in taxes to the govt. than they did their own shareholders. Lookin only at the profit numbers does not tell the story, but that doesn't stop Obama and Hillary from spewing all sorts of nonsense about record profits.

One more item to mull over: back when oil sold for 20 bucks a barrel of less, oil companies forgot all about reinvesting their profits because the margins ran incredibly tight. A profits tax on oil could stymie any exploration or expansion of their infrastructure. That will ensure higher gas prices and further dependency on foreign sources.

The solution is multi-faceted...and will take many years to un-do what govt. has...and has not done for decades.

- Brickboy240

[eric_t12]

you guys must just want us to go back to the dark ages when there were little to no controls from the government.

its not like we defeated the greatest military empire on earth at the time with out them or anything, sheeeeshhh.....

[FrankRizzoXD40]

but bountyhunter told me that the big oil companies are the ones arbitrarily setting the prices for oil

Now you are telling me that it is our own gubment's fault?!??!

Frank

[FrankRizzoXD40]

Originally Posted by Brickboy240

I've told you all that for quite some time.

Something to consider: if you look at the balance sheets for most oil companies (and not get tunnel vision on the profit number) you will see that most all oil companies paid more in taxes to the govt. than they did their own shareholders. Lookin only at the profit numbers does not tell the story, but that doesn't stop Obama and Hillary from spewing all sorts of nonsense about record profits.

One more item to mull over: back when oil sold for 20 bucks a barrel of less, oil companies forgot all about reinvesting their profits because the margins ran incredibly tight. A profits tax on oil could stymie any exploration or expansion of their infrastructure. That will ensure higher gas prices and further dependency on foreign sources.

The solution is multi-faceted...and will take many years to un-do what govt. has...and has not done for decades.

- Brickboy240

lol....brickboy....you gotta love how hillary keeps telling us that she will save us money at the pump by suspending gas taxes and making up the lost tax revenue with a windfall profits tax on bil oil.....

where the hell do you think the oil companies will pass on this increased cost of doing business???? answer: straight to us.

They will end up raising gas prices to pay for it.

Talk about a sham...

Frank

[yeahYeah]

and the democrats think MORE govt. is the answer...like a 'gas tax holiday'.