$4 gas, free market, tax burden question

[sdduuuude]

DWCAP – my reply was to the original poster.

[afx114]

Gas IS under priced, especially in the US, due to all of the government subsidies. Let see you get some ‘petrol’ in Europe for $4 a gallon.

[afx114]

Gas IS under priced, especially in the US, due to all of the government subsidies. Let see you get some ‘petrol’ in Europe for $4 a gallon.

[afx114]

Gas IS under priced, especially in the US, due to all of the government subsidies. Let see you get some ‘petrol’ in Europe for $4 a gallon.

[afx114]

Gas IS under priced, especially in the US, due to all of the government subsidies. Let see you get some ‘petrol’ in Europe for $4 a gallon.

[afx114]

Gas IS under priced, especially in the US, due to all of the government subsidies. Let see you get some ‘petrol’ in Europe for $4 a gallon.

[Dukehorn]

Interesting replies.

Sdude. I don’t necessarily agree with you on the dismissal of the oligopoly issue. Price sensitivity can only carry you so far. Folks need heating oil to survive in the NE. Yes, they can try not to heat their homes, but I don’t think that’s the argument you want to make. As for alternative transportation, there’s a certain flexibility to move to public transportation, but I, for example, am not going to move back to DC so I can use the Metro and I can’t move to LaJolla from 4S Ranch so that I can bike to work–I’d like to, but I can’t afford it (and for safety purposes, I wouldn’t want to make that bike ride at night on weekdays).

Disgruntled Patriot. You had a reasonable post till that “corrupt” tangent. Are you suggesting that my friends at the SEC and EPA not enforce the laws or that we not get upset if “corrupt” folks take advantage of others? I’m sure the ex-employees at Enron would disagree. However, IF, as this President states, we’re in a time of war, it is certainly unseemly that certain corporations profit off of it (War is supposedly about national sacrifice while our troops are dying-not about generating record profits)

As for “true pricing”
I’ve driven enough in Europe to understand that gas is underpriced. I’d rather have high pricing just to force some of the gas-guzzlers off the road.

My question is whether any economists here can resolve the issue of “record profits” with government subsidies (and the side issue of whether the tax increase is appropriate on these entities).

If this is a bubble, are the speculative costs being passed proportionately down to the consumers? It obviously doesn’t feel that way if Exxon is pulling in a few straight quarters of record profits.

[Dukehorn]

Interesting replies.

Sdude. I don’t necessarily agree with you on the dismissal of the oligopoly issue. Price sensitivity can only carry you so far. Folks need heating oil to survive in the NE. Yes, they can try not to heat their homes, but I don’t think that’s the argument you want to make. As for alternative transportation, there’s a certain flexibility to move to public transportation, but I, for example, am not going to move back to DC so I can use the Metro and I can’t move to LaJolla from 4S Ranch so that I can bike to work–I’d like to, but I can’t afford it (and for safety purposes, I wouldn’t want to make that bike ride at night on weekdays).

Disgruntled Patriot. You had a reasonable post till that “corrupt” tangent. Are you suggesting that my friends at the SEC and EPA not enforce the laws or that we not get upset if “corrupt” folks take advantage of others? I’m sure the ex-employees at Enron would disagree. However, IF, as this President states, we’re in a time of war, it is certainly unseemly that certain corporations profit off of it (War is supposedly about national sacrifice while our troops are dying-not about generating record profits)

As for “true pricing”
I’ve driven enough in Europe to understand that gas is underpriced. I’d rather have high pricing just to force some of the gas-guzzlers off the road.

My question is whether any economists here can resolve the issue of “record profits” with government subsidies (and the side issue of whether the tax increase is appropriate on these entities).

If this is a bubble, are the speculative costs being passed proportionately down to the consumers? It obviously doesn’t feel that way if Exxon is pulling in a few straight quarters of record profits.

[Dukehorn]

Interesting replies.

Sdude. I don’t necessarily agree with you on the dismissal of the oligopoly issue. Price sensitivity can only carry you so far. Folks need heating oil to survive in the NE. Yes, they can try not to heat their homes, but I don’t think that’s the argument you want to make. As for alternative transportation, there’s a certain flexibility to move to public transportation, but I, for example, am not going to move back to DC so I can use the Metro and I can’t move to LaJolla from 4S Ranch so that I can bike to work–I’d like to, but I can’t afford it (and for safety purposes, I wouldn’t want to make that bike ride at night on weekdays).

Disgruntled Patriot. You had a reasonable post till that “corrupt” tangent. Are you suggesting that my friends at the SEC and EPA not enforce the laws or that we not get upset if “corrupt” folks take advantage of others? I’m sure the ex-employees at Enron would disagree. However, IF, as this President states, we’re in a time of war, it is certainly unseemly that certain corporations profit off of it (War is supposedly about national sacrifice while our troops are dying-not about generating record profits)

As for “true pricing”
I’ve driven enough in Europe to understand that gas is underpriced. I’d rather have high pricing just to force some of the gas-guzzlers off the road.

My question is whether any economists here can resolve the issue of “record profits” with government subsidies (and the side issue of whether the tax increase is appropriate on these entities).

If this is a bubble, are the speculative costs being passed proportionately down to the consumers? It obviously doesn’t feel that way if Exxon is pulling in a few straight quarters of record profits.

[Dukehorn]

Interesting replies.

Sdude. I don’t necessarily agree with you on the dismissal of the oligopoly issue. Price sensitivity can only carry you so far. Folks need heating oil to survive in the NE. Yes, they can try not to heat their homes, but I don’t think that’s the argument you want to make. As for alternative transportation, there’s a certain flexibility to move to public transportation, but I, for example, am not going to move back to DC so I can use the Metro and I can’t move to LaJolla from 4S Ranch so that I can bike to work–I’d like to, but I can’t afford it (and for safety purposes, I wouldn’t want to make that bike ride at night on weekdays).

Disgruntled Patriot. You had a reasonable post till that “corrupt” tangent. Are you suggesting that my friends at the SEC and EPA not enforce the laws or that we not get upset if “corrupt” folks take advantage of others? I’m sure the ex-employees at Enron would disagree. However, IF, as this President states, we’re in a time of war, it is certainly unseemly that certain corporations profit off of it (War is supposedly about national sacrifice while our troops are dying-not about generating record profits)

As for “true pricing”
I’ve driven enough in Europe to understand that gas is underpriced. I’d rather have high pricing just to force some of the gas-guzzlers off the road.

My question is whether any economists here can resolve the issue of “record profits” with government subsidies (and the side issue of whether the tax increase is appropriate on these entities).

If this is a bubble, are the speculative costs being passed proportionately down to the consumers? It obviously doesn’t feel that way if Exxon is pulling in a few straight quarters of record profits.

[Dukehorn]

Interesting replies.

Sdude. I don’t necessarily agree with you on the dismissal of the oligopoly issue. Price sensitivity can only carry you so far. Folks need heating oil to survive in the NE. Yes, they can try not to heat their homes, but I don’t think that’s the argument you want to make. As for alternative transportation, there’s a certain flexibility to move to public transportation, but I, for example, am not going to move back to DC so I can use the Metro and I can’t move to LaJolla from 4S Ranch so that I can bike to work–I’d like to, but I can’t afford it (and for safety purposes, I wouldn’t want to make that bike ride at night on weekdays).

Disgruntled Patriot. You had a reasonable post till that “corrupt” tangent. Are you suggesting that my friends at the SEC and EPA not enforce the laws or that we not get upset if “corrupt” folks take advantage of others? I’m sure the ex-employees at Enron would disagree. However, IF, as this President states, we’re in a time of war, it is certainly unseemly that certain corporations profit off of it (War is supposedly about national sacrifice while our troops are dying-not about generating record profits)

As for “true pricing”
I’ve driven enough in Europe to understand that gas is underpriced. I’d rather have high pricing just to force some of the gas-guzzlers off the road.

My question is whether any economists here can resolve the issue of “record profits” with government subsidies (and the side issue of whether the tax increase is appropriate on these entities).

If this is a bubble, are the speculative costs being passed proportionately down to the consumers? It obviously doesn’t feel that way if Exxon is pulling in a few straight quarters of record profits.

[Arraya]

“If this is a bubble, are the speculative costs being passed proportionately down to the consumers? It obviously doesn’t feel that way if Exxon is pulling in a few straight quarters of record profits”

Oil is NOT a bubble.

-World production is flat and has been for 2+ years
-Exporting countries are using more of their oil internally thus exporting less.
-Even though there is a world economic slowdown demand is still higher than last year.
-Oil prices are very in-elastic
-The high quality oil is becoming harder to get and being replaced with lower quaility oil that is more expensive to refine.
-a 4% decline in the 70s and caused a 400% spike
-EIA put world demand down to 87 million bbl per day from 88 while production is still at 85ish.
-This trend will not stop with the exception of a serious recession/population reduction etc

All these so called analyists do a disservice by not explaining in more detail the supply/demand dynamic.

http://www.arabianbusiness.com/512436-oil-could-reach-us300-claims-expert

Just and FYI if read the article Matt Simmons was on the Cheney energy task force that is so so secretive.

[Arraya]

“If this is a bubble, are the speculative costs being passed proportionately down to the consumers? It obviously doesn’t feel that way if Exxon is pulling in a few straight quarters of record profits”

Oil is NOT a bubble.

-World production is flat and has been for 2+ years
-Exporting countries are using more of their oil internally thus exporting less.
-Even though there is a world economic slowdown demand is still higher than last year.
-Oil prices are very in-elastic
-The high quality oil is becoming harder to get and being replaced with lower quaility oil that is more expensive to refine.
-a 4% decline in the 70s and caused a 400% spike
-EIA put world demand down to 87 million bbl per day from 88 while production is still at 85ish.
-This trend will not stop with the exception of a serious recession/population reduction etc

All these so called analyists do a disservice by not explaining in more detail the supply/demand dynamic.

http://www.arabianbusiness.com/512436-oil-could-reach-us300-claims-expert

Just and FYI if read the article Matt Simmons was on the Cheney energy task force that is so so secretive.

[Arraya]

“If this is a bubble, are the speculative costs being passed proportionately down to the consumers? It obviously doesn’t feel that way if Exxon is pulling in a few straight quarters of record profits”

Oil is NOT a bubble.

-World production is flat and has been for 2+ years
-Exporting countries are using more of their oil internally thus exporting less.
-Even though there is a world economic slowdown demand is still higher than last year.
-Oil prices are very in-elastic
-The high quality oil is becoming harder to get and being replaced with lower quaility oil that is more expensive to refine.
-a 4% decline in the 70s and caused a 400% spike
-EIA put world demand down to 87 million bbl per day from 88 while production is still at 85ish.
-This trend will not stop with the exception of a serious recession/population reduction etc

All these so called analyists do a disservice by not explaining in more detail the supply/demand dynamic.

http://www.arabianbusiness.com/512436-oil-could-reach-us300-claims-expert

Just and FYI if read the article Matt Simmons was on the Cheney energy task force that is so so secretive.

[Arraya]

“If this is a bubble, are the speculative costs being passed proportionately down to the consumers? It obviously doesn’t feel that way if Exxon is pulling in a few straight quarters of record profits”

Oil is NOT a bubble.

-World production is flat and has been for 2+ years
-Exporting countries are using more of their oil internally thus exporting less.
-Even though there is a world economic slowdown demand is still higher than last year.
-Oil prices are very in-elastic
-The high quality oil is becoming harder to get and being replaced with lower quaility oil that is more expensive to refine.
-a 4% decline in the 70s and caused a 400% spike
-EIA put world demand down to 87 million bbl per day from 88 while production is still at 85ish.
-This trend will not stop with the exception of a serious recession/population reduction etc

All these so called analyists do a disservice by not explaining in more detail the supply/demand dynamic.

http://www.arabianbusiness.com/512436-oil-could-reach-us300-claims-expert

Just and FYI if read the article Matt Simmons was on the Cheney energy task force that is so so secretive.

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