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nipsip

You Got The Answer 5 Years Ago

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From an auto magazine from 2007:

 

"Within the context of buying a new car or truck, people often ask me whether I think gasoline will be $4 a gallon or $5 a gallon soon. In case you have the same question, here is the general answer I give them:

 

Oil is being depleted steadily while demand worldwide continues to rise. There are no indications currently that any new oil reserves in any significant amounts will be suddenly available in the future. There are no indications currently that demand for oil will do anything except increase dramatically in the next 20 years.There may be hiccups in the price of oil that manifest themselves as price plateaus such as the one we had recently, but the long-term forecast is for oil prices to continue their steady trajectory upward over at least the next two decades. Oil prices will drop when there is less demand for oil. That condition is extremely unlikely in the foreseeable future. You should prepare yourself for higher oil prices, and therefore higher retail prices of gasoline until substitutes are found for one or both. To not prepare yourself for this pricing environment is to delude yourself.

 

So, the summing up is this: If you’re in an income range where it doesn’t really matter how much gasoline costs, then buy whatever you wish without regard to future price increases. If you are in an income range where paying $4 a gallon of gas would take up too much of your after-tax income, then I would suggest you do the math based on gasoline being $5 a gallon (it’s not that unlikely within the service life of the vehicle) and buy what you can afford to buy gas for at that price per gallon.”

 

Republicans are now howling about the current price of gasoline and exclaiming loudly that Obama better do something. Newt says he can make it go to $2.50 a gallon.

 

Hello! Do Republicans not read the paper, watch the news on television, get on the internet, listen to the radio or have conversations with other people?

 

What information were Republicans getting over the last 5 years that made them figure the price of gasoline was not going to go up?

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Some of this desperation is really getting embarrassing to watch. Seriously.

What's next? is Mitt Romney's hair gel made in China?

Oh the horror.

 

Agree. Another no substance post. Couldn't even give credit to what magazine this came from.

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Newt Gingrich just said that N. Dakota has 150 times more the oil reserves than we first thought...and this was basically when coined his 'no longer bow to the Saudi King' line last night

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From an auto magazine from 2007:

"Within the context of buying a new car or truck, people often ask me whether I think gasoline will be $4 a gallon or $5 a gallon soon. In case you have the same question, here is the general answer I give them:

Oil is being depleted steadily while demand worldwide continues to rise. There are no indications currently that any new oil reserves in any significant amounts will be suddenly available in the future. There are no indications currently that demand for oil will do anything except increase dramatically in the next 20 years.There may be hiccups in the price of oil that manifest themselves as price plateaus such as the one we had recently, but the long-term forecast is for oil prices to continue their steady trajectory upward over at least the next two decades. Oil prices will drop when there is less demand for oil. That condition is extremely unlikely in the foreseeable future. You should prepare yourself for higher oil prices, and therefore higher retail prices of gasoline until substitutes are found for one or both. To not prepare yourself for this pricing environment is to delude yourself.

So, the summing up is this: If you’re in an income range where it doesn’t really matter how much gasoline costs, then buy whatever you wish without regard to future price increases. If you are in an income range where paying $4 a gallon of gas would take up too much of your after-tax income, then I would suggest you do the math based on gasoline being $5 a gallon (it’s not that unlikely within the service life of the vehicle) and buy what you can afford to buy gas for at that price per gallon.”

Republicans are now howling about the current price of gasoline and exclaiming loudly that Obama better do something. Newt says he can make it go to $2.50 a gallon.

Hello! Do Republicans not read the paper, watch the news on television, get on the internet, listen to the radio or have conversations with other people?

What information were Republicans getting over the last 5 years that made them figure the price of gasoline was not going to go up?

 

An excellent question... in fact is not this same reasoning what the Dems gave us when the price was rising under Bush? Surely it must have been... I mean it's not possible that the argument applies now, but not 4 years ago, is it?

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Nipsip, you and the rest of the green energy bufoons need to reslize the theory of peak oil is only a theory, i.e. that oil is finite and when its gone itsgone.

 

That is debated and notfuully understood.

 

Do you think anybody gives a **** about the nonsense you just c and p from an auto mag when they just spent $80 filling their car and $45 to buy groceries for a day and a half?

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nipsip is weeks behind the rest of the loony left on this one. Obama has reversed himself on wanting higher oil prices and his secretary of energy, Chu has also done a 180.

 

“And so, of course, we don’t want the price of gasoline to go up. We want it to go down.”

 

Do try to keep up nipsip, I know it's tough when dear leader keeps changing direction like a squirrel on the interstate but you don't want to look the fool do you?.

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Don't feel bad nipsip, I do not like anything about Obama and I had no idea he is NOW in favor of higher poll ratings...err I mean lower gas prices..

 

 

Also I wouldn't sweat it , if he wins re-election he'll be hoping and manipulating for higher gas prices again.

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If you are a farmer or an oil company your commodity cycles in price from higher to lower -- get used to it. In good times producers jump in, and in bad times people get out. Government should not be making the price higher and it should not be making the price lower. Drill baby drill would simply glut the market, and no sane company would do that to a point where their profit margins suffered, any more than consumers will buy bicycles and park their cars on blocks when gas prices are high. There is an equilibrium price, but it changes constantly and people make small adjustments in consumption to match that.

 

Funny that all the free-market advocates and get-government-out-of-my-life people want government to "do something" about what bugs them personally -- like gas prices. And all the people who thought Obama was hurting the oil companies after the Gulf spill can't wait to trash him when he allows the market to steer more revenue and profits their way by not attempting the King Canut routine and trying to change the tides.

 

Someday soon, when there is enough price incentive, those fracking rigs will have gas flowing and the tar sands of Alberta will be sending oil out, and maybe we'll bail out the oil companies the way we bailed out the farmers because they were too politically powerful to fail. Boo hoo.

 

Adam Smith is smarter than Ben Bernanke.

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If you are a farmer or an oil company your commodity cycles in price from higher to lower -- get used to it. In good times producers jump in, and in bad times people get out. Government should not be making the price higher and it should not be making the price lower. Drill baby drill would simply glut the market, and no sane company would do that to a point where their profit margins suffered, any more than consumers will buy bicycles and park their cars on blocks when gas prices are high. There is an equilibrium price, but it changes constantly and people make small adjustments in consumption to match that.

Funny that all the free-market advocates and get-government-out-of-my-life people want government to "do something" about what bugs them personally -- like gas prices. And all the people who thought Obama was hurting the oil companies after the Gulf spill can't wait to trash him when he allows the market to steer more revenue and profits their way by not attempting the King Canut routine and trying to change the tides.

Someday soon, when there is enough price incentive, those fracking rigs will have gas flowing and the tar sands of Alberta will be sending oil out, and maybe we'll bail out the oil companies the way we bailed out the farmers because they were too politically powerful to fail. Boo hoo.

Adam Smith is smarter than Ben Bernanke.

 

how 'bout this

 

 

the ones who want government out of the way feel the same way about getting the government out of the way of progress and drilling and not use the EPA like an arm of the Nazio party to bring American gas prices in line with European gas prices in some kind of liberal wet dream

 

 

thats what the governemt can do....get the **** out of the way, stop manipulating the currency , stop bailing out failed companies , stop bailing out failed unions, stop bailing out failed people who WILL NEVER BE ABLE TO PAY THEIR mortgages, just get the **** out of the way.

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If you are a farmer or an oil company your commodity cycles in price from higher to lower -- get used to it. In good times producers jump in, and in bad times people get out. Government should not be making the price higher and it should not be making the price lower. Drill baby drill would simply glut the market, and no sane company would do that to a point where their profit margins suffered, any more than consumers will buy bicycles and park their cars on blocks when gas prices are high. There is an equilibrium price, but it changes constantly and people make small adjustments in consumption to match that.

Funny that all the free-market advocates and get-government-out-of-my-life people want government to "do something" about what bugs them personally -- like gas prices. And all the people who thought Obama was hurting the oil companies after the Gulf spill can't wait to trash him when he allows the market to steer more revenue and profits their way by not attempting the King Canut routine and trying to change the tides.

Someday soon, when there is enough price incentive, those fracking rigs will have gas flowing and the tar sands of Alberta will be sending oil out, and maybe we'll bail out the oil companies the way we bailed out the farmers because they were too politically powerful to fail. Boo hoo.

Adam Smith is smarter than Ben Bernanke.

 

how 'bout this

 

 

the ones who want government out of the way feel the same way about getting the government out of the way of progress and drilling and not use the EPA like an arm of the Nazio party to bring American gas prices in line with European gas prices in some kind of liberal wet dream

 

 

thats what the governemt can do....get the **** out of the way, stop manipulating the currency , stop bailing out failed companies , stop bailing out failed unions, stop bailing out failed people who WILL NEVER BE ABLE TO PAY THEIR mortgages, just get the **** out of the way.

 

I'd be 100% for that, I'm all over the Adam Smith model for everything. The only tiny exception for government role is behavior that is a danger to the public that they cannot protect themselves from (you can't sell arms to terrorists even if it is profitable, and you can't defraud people by watering down your gas with ethanol (sorry, I guess that one is somehow considered legal)).

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