The Price of Gas

Price Gouging Okay, here’s the deal. I am a free market capitalist. I think the market should drive the cost of goods and services. I’m not against profits. But I have to say that I’m against crooked thieves who practice gouging, extortion and screwing the consumer because they can. There are many elements in this equation, but I want to just address a few and then draw some perspective. 

THERE IS NO GAS SHORTAGE! Supply is not the problem causing gas prices to rise in the ridiculous manner they have in recent months. I know what you’re thinking, “Michael, what makes you an expert in the oil and gas business?” Trust me, I know little, but I observe, read, and learn. Click Here if you would like to read some of the background for my opinion.  

The culprit is a three-headed beast. The first head is the speculators in the oil markets. The second head is the ethanol mandate from the government. (This is not only affecting gas prices, don’t get me started on the long-term damage this will do, it is also having a negative affect on the price of poultry and grain products.) The third head is the Bush administration. (Although I am a conservative and I like George Bush, he’s not done well on a great many things.) 

So what can be done; not much in the short term. The speculation bubble in the oil markets will eventually burst. Those making obscene profits will make smaller ones. I wish I could say that “they will get theirs,” but they won’t – at least not now. The best we can do for now is adjust lifestyle. Elect people who will be responsible concerning energy policy. (good luck on that) And of course there is the thought of one comedian who said, “Let’s use all the oil and gas we can. We’ll use it all up. Our kids will figure out a new way to get around without it. They will never have to deal with OPEC or worry about the price of gas. So take the family on a long road trip and stick it to the oil companies.” (it is funny) 

On the lighter side, my friends Gary and Darla Miller sent a piece to me a few weeks ago that I think provides valuable perspective. If you feel gas is too expensive, consider this…

  • Lipton Ice Tea 16 oz $1.19 = $9.52 per gallon

  • Ocean Spray 16 oz $1.25 = $10.00 per gallon

  • Gatorade 20 oz $1.59 = $10.17 per gallon

  • Diet Snapple 16 oz $1.29 = $10.32 per gallon

  • Evian water 9 oz $1.49 = $21.19 per gallon

  • Whiteout 7 oz $1.39 = $25.42 per gallon

  • Brake Fluid 12 oz $3.15 = $33.60 per gallon

  • Scope 1.5 oz $0.99 = $84.48 per gallon

  • Pepto Bismol 4 oz $3.85 = $123.20 per gallon

  • Vick’s Nyquil 6 oz $8.35 = $178.13 per gallon

  • Printer Ink .05 oz $18 = $5,200 per gallon

Overall, I think it’s going to be ok. We need perspective, we need wisdom and of course, a break would be nice. It’ll come back into balance in time. Don’t get despondent. We have it better than most countries in the world. I’m ok with thinking GREEN, it’s certainly better than thinking BLUE. Above all the frustration, think good things. I know the squeeze of dollars that this puts on all of us. We can do this. Stand fast… drive happy.

telemicus out

1 Responses to The Price of Gas

  1. cindy smith says:

    this is very good. any great points to your piece and I hope you know how practical these thoughts are. you have managed to make so sense of this insanity and make me feel a whole lot better about it. some say I am biased… I say I am a good judge of writing. 😉

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