Thursday, April 25, 2024
Writing Common Sense to Power
D. R. ZUKERMAN, proprietor
Who Is Raising Oil Prices, Anyway--
and Why?

APRIL 24, 2005 --

For a moment, last week, LPR spotted gas prices at a Mobil station in Torrington that offered a glimmer of hope -- the prices were down six cents from the previous week.

And then, that night in The Bronx, a slap of reality at an Amoco station -- prices there up another six cents from the day before, with premium now at $2.61.9.

A story in The Washington Post, April 21, noted, "the public may be paying closer attention to economic issues, particularly rising gasoline prices, than polticians in Washington realize."

LPR as been taking note of gas prices for some time. If rising gas prices are not helpful to the economy, isn't there something that can be done to firm up public confidence now, and create some sense of respect for America on the part
of whoever it is who directs gas station operators to increase the squeeze on American motorists?

President Bush is calling on Congress to pass his energy bill, which apparently calls for developing oil fields in Alaska, and providing tax incentives for developing other energy sources. Yet, LPR wonders if every statement from Washington predicting that gas prices will not come down, soon, is a green light to ratcheting the pump price even higher.

The Wall Street Journal, suggested, in an April 21 editorial, that if the nomination of John Bolton as our ambassador to the U.N. is in trouble, "weak" support of the nominee, against opposition from Democrats might have something to do with the problem. LPR wonders if the Administration could not be a bit more stronger on the subject of the current gas price squeeze on the U.S. economy.

Humane (for these days) gas prices at a Citgo station in Winsted, Connecticut, April 15.


Do current gas prices serve the "common good." Would prices be lower if our leaders were closer to the people?

The image LPR sees, looking towards Washington, is of the political parties squabbling to gain political advantage, while the public is left with the option of
passing the gas stations by. Voting time, of course, this same public might pass incumbents by.

LPR wonders if the Bush Administration might just apply the old Watergate advice --"follow the money" and tell us who is raising oil prices, why prices are so high, and whether policies here at homer have
something to do with current record prices.

There was a report in the Daily News, October 19, 2003 that a federal government report warned gas prices
might jump some 40 cents in New York because of a switch to "corn-based ethanol." The News said that that would mean $2.27 a gallon of gas in New York.

Here we are, April 2005, with prices even higher than that. And media talk about so many things to "fear" about the economy. We ought to be able to do better than that.