The logic of of “Obamanomics” are at work. See if you can follow Obama’s view of the world. $5.00 gasoline is good as long as it doesn’t get there too fast. In other words, if you don’t notice the price creeping up then there won’t be enough outraged people to hold the government accountable. That way the tax revenue will continue to roll in so the government can transfer a greater portion of YOUR earnings into social programs that continue to grow geometrically. That way there is no need to make the hard decisions like cutting back on the Ponzi scheme known as Social Security. You can even fund nationalized health care and Medicare.
Why? You’re being duped by the government. We’re sitting on 89 Billion (that’s with a B) barrels of oil in the Alaskan wilderness. Two times as much in the Gulf of Mexico and 3 times as much is in Iraq. If you’re counting that’s 50 years of oil not counting the other countries in OPEC. The only reason there is a supply problem is because of a perfect cocktail to take increasing tax money on a fungible asset. Like cigarettes the demand curve for oil is nearly vertical. So you can keep raising the prices on oil and people will still keep buying gasoline because they don’t have a choice unless they want to ride a ten speed for 13 miles from the suburbs to get to work every day.
One reason America has always been an economic powerhouse because our people are mobile. The people are mobile because we have a highly developed transportation system, everyone has a vehicle and the resources to drive them have always been readily available. So when the government has a major problem like a failing wealth redistribution service like Social Security its nice to have a tax that’s associated with a rising fuel price. So like cigarette’s the government can keep making more revenue as the price goes up and cover shortfalls. This prevents the nasty situation where government officials have to take away benefits or dare the unthinkable like personal savings accounts for Social Security.
It must be the fault of “Big Oil”. True they are making billions but maybe its because they were smart enough figure out government won’t do anything so they made a business plan around oil prices like the government did with taxes. By the way the government makes more revenue than the oil companies combined. So do we get a “windfall tax” rebate from the government? Doubt it.
In the meantime, George Bush will continue to pretend that he has no interest in the oil companies. Obama and the left will keep telling you that big oil is the demon, the end of the earth is upon us due to CO2 and wind will somehow get me to work. To me it all sounds like hot air from a bunch of do nothing politicians that want to put their hands deeper in YOUR pockets.