Actually MK is one the more reasonable guys on the other side of the fence.Originally Posted by SimonM
It's not oil companies tightening supply, it's OPEC.
Is very uneasy
Actually MK is one the more reasonable guys on the other side of the fence.
It's not oil companies tightening supply, it's OPEC.
When given the choice between big business and big government, choose big business. Big business never threw millions of people into gas chambers, but big government did.
"It does not take a majority to prevail, but rather an irate, tireless minority, keen on setting brushfires of freedom in the minds of men" -Samuel Adams
GM of Hadaka Korosu
This is true about Opec, oil companies are just reaping the rewards, and rightly so.
Psalms 144:1
Praise be my Lord my Rock,
He trains my hands for war, my fingers for battle !
Registered User
Wall Street Journal
Obama and McCain Spout Economic Nonsense
By KARL ROVE
June 19, 2008; Page A13
Barack Obama and John McCain are busy demonstrating that in close elections during tough economic times, candidates for president can be economically illiterate and irresponsibly populist.
In Raleigh, N.C., last week, Sen. Obama promised, "I'll make oil companies like Exxon pay a tax on their windfall profits, and we'll use the money to help families pay for their skyrocketing energy costs and other bills."
Set aside for a minute that Jimmy Carter passed a "windfall profits tax" to devastating effect, putting American oil companies at a competitive disadvantage to foreign competitors, virtually ending domestic energy exploration, and making the U.S. more dependent on foreign sources of oil and gas.
Instead ask this: Why should we stop with oil companies? They make about 8.3 cents in gross profit per dollar of sales. Why doesn't Mr. Obama slap a windfall profits tax on sectors of the economy that have fatter margins? Electronics make 14.5 cents per dollar and computer equipment makers take in 13.7 cents per dollar, according to the Census Bureau. Microsoft's margin is 27.5 cents per dollar of sales. Call out Mr. Obama's Windfall Profits Police!
It's not the profit margin, but the total number of dollars earned that is the problem, Mr. Obama might say. But if that were the case, why isn't he targeting other industries? Oil and gas companies made $86.5 billion in profits last year. At the same time, the financial services industry took in $498.5 billion in profits, the retail industry walked away with $137.5 billion, and information technology companies made off with $103.4 billion. What kind of special outrage does Mr. Obama have for these companies?
Sen. McCain doesn't support the windfall profits tax, but he can be as hostile to profits as Mr. Obama. "[W]e should look at any incentives that we are giving," Mr. McCain said in May, even as he talked up a gas tax "holiday" that would give drivers incentives to burn more gasoline.
This past Thursday, Mr. McCain came close to advocating a form of industrial policy, saying, "I'm very angry, frankly, at the oil companies not only because of the obscene profits they've made, but their failure to invest in alternate energy."
But oil and gas companies report that they have invested heavily in alternative energy. Out of the $46 billion spent researching alternative energy in North America from 2000 to 2005, $12 billion came from oil and gas companies, making the industry one of the nation's largest backers of wind and solar power, biofuels, lithium-ion batteries and fuel-cell technology.
Such investments, however, are not as important as money spent on technologies that help find and extract more oil. Because oil companies invested in innovation and technology, they are now tapping reserves that were formerly thought to be unrecoverable. Maybe we are all better off when oil companies invest in what they know, not what they don't.
And do we really want the government deciding how profits should be invested? If so, should Microsoft be forced to invest in Linux-based software or McDonald's in weight-loss research?
Mr. McCain's angry statement shows a lack of understanding of the insights of Joseph Schumpeter, the 20th century economist who explained that capitalism is inherently unstable because a "perennial gale of creative destruction" is brought on by entrepreneurs who create new goods, markets and processes. The entrepreneur is "the pivot on which everything turns," Schumpeter argued, and "proceeds by competitively destroying old businesses."
Most dramatic change comes from new businesses, not old ones. Buggy whip makers did not create the auto industry. Railroads didn't create the airplane. Even when established industries help create new ones, old-line firms are often not as nimble as new ones. IBM helped give rise to personal computers, but didn't see the importance of software and ceded that part of the business to young upstarts who founded Microsoft.
So why should Mr. McCain expect oil and gas companies to lead the way in developing alternative energy? As with past technological change, new enterprises will likely be the drivers of alternative energy innovation.
Messrs. Obama and McCain both reveal a disturbing animus toward free markets and success. It is uncalled for and self-defeating for presidential candidates to demonize American companies. It is understandable that Mr. Obama, the most liberal member of the Senate, would endorse reckless policies that are the DNA of the party he leads. But Mr. McCain, a self-described Reagan Republican, should know better.
Bless you
Banned
OMFG.....you should be hunted down by transexual rabid spider monkey's for that comment alone. Once they have you cornered they should put on clown masks and beat the **** out of your choda with popsicle sticks to the tune of "Black Velvet"Which is tantamount to saying if i want to go round punching people in the face or shooting them and I can afford the bullets, people should just shut up.
Registered User
of Rove's use of the term "irresponsibly populist?" Rove is essentially saying that one shouldn't bow to the electorate because they're too dumb to know what's good for them. Interesting point of view given that the allegedly dumb voters are the ones who put the policy makers into office making Rove and his ilk the beneficiaries of the electorate's stupidity.
Itinerant practitioner
why are prices up?
according to the sec ex- it is mostly due to futures trading.
according to the bush admin, it's because of hurricanes and refinery problems.
according to oil execs its a supply and demand question.
taxes do make up pretty much half of every dollar you spend on gas.
one way to duff that is to implement a carbon tax credit economy and dump the gas tax entirely for a lateral tax move.
although, I think it more likely that taxes will stay and carbon tax will be implemented anyway...you know, just like how all the other "temporary" taxes were anything but temporary..IE: income tax.
Ultimately, if you got a complaint, here's your answer "Be the change you want to see" It truly is the only way real change will come.
Kung Fu is good for you.
GM of Hadaka Korosu
AH dude, they're being politicians and telling the people what they wanna hear, wouldn't make to much of it.
How many people do the oil companys employ? thousands? tens of thousands?
No way any politician is going to do something that will cost thousands of people their jobs.
Psalms 144:1
Praise be my Lord my Rock,
He trains my hands for war, my fingers for battle !
GM of Hadaka Korosu
Oil is Up because OPEC raised the price of crude and the oil companies know they can make more profits because of it.
Why did OPEC raise the price?
Opinions abound...
Psalms 144:1
Praise be my Lord my Rock,
He trains my hands for war, my fingers for battle !
Keeper of Useless Facts
Oil tumbles $5 as China raises gas prices
NEW YORK (CNNMoney.com) -- Oil prices sank nearly $5 on Thursday after China said it would raise gas prices by lifting subsidies that have been blamed for driving oil prices higher. The move could curb demand from the country's rapidly growing economy.
Is very uneasy
Haven't I been saying for a long time that China's economy is the #1 reason for oil prices going up so sharply and quickly?
When given the choice between big business and big government, choose big business. Big business never threw millions of people into gas chambers, but big government did.
"It does not take a majority to prevail, but rather an irate, tireless minority, keen on setting brushfires of freedom in the minds of men" -Samuel Adams
GM of Hadaka Korosu
LOL !Haven't I been saying for a long time that China's economy is the #1 reason for oil prices going up so sharply and quickly?
Maybe if the Chinese make some cheap, but good quality oil, all will be right !
Psalms 144:1
Praise be my Lord my Rock,
He trains my hands for war, my fingers for battle !
Keeper of Useless Facts
You said it was thier oil usage. Thier economy leveling out will effect more that the price of crude oil bone head.Haven't I been saying for a long time that China's economy is the #1 reason for oil prices going up so sharply and quickly?
Keeper of Useless Facts
Yea, they can try this meathod for good cheep fuel.
Is very uneasy
That 'good quality' part is always the problem with most Chinese goods.
When given the choice between big business and big government, choose big business. Big business never threw millions of people into gas chambers, but big government did.
"It does not take a majority to prevail, but rather an irate, tireless minority, keen on setting brushfires of freedom in the minds of men" -Samuel Adams
Registered User
Basic supply and demand analysis does not support the increased cost. Many economists are speculating that there's an oil "bubble" caused, in part, by the speculation of commodities investors, which has already been mentioned in this thread.
Posting Permissions
Reply With Quote