Gas prices are a result of speculation that's it. It has nothing to do with anything you mentioned. It is this very ignorance on the topic that contributes to the confusion and frustration of the masses. Price has NOTHING to do with consumption. If you believe that you are another naive lemming. And this drill more shit is bullshit. We get most of our oil from Canada, not the middle east. The Canadians are NOT taking advantage of us. It is our own market speculators who do this. You really need to understand the facts before you stop spewing gibberish.

 

That is what I meant, but braniac over here doesn't quite get it.

 

Plus, I think the reason the drilling isn't happening is cost. It is super expensive and I have heard that they have to do it pretty far out in the ocean which increases the cost even more. Maybe we could have done that if we didn't waste SO MUCH CASH on Iraq.

 

Wrong. Speculation works both ways, and can make prices go up or down. But a big factor in the recent runup is the devaluation of the US dollar. Oil is priced in US dollars, and when the value of the dollar drops the price of a barrel goes up. The fed's been pumping dollars into the system to lower the value of the greenback, giving us inflation.

And saying drilling won't help is silly, too - every heard of supply and demand?

 

Not to mention the reason BP was drilling in water 5 miles deep was THE FEDERAL GOVERNMENT WON'T LET THEM GET TO IT CLOSER IN WHERE IT'S EASIER/CHEAPER/SAFER/WHATEVER TO GET!

More drilling/digging/refining/shipping/etc = more supply. More supply = less issues with not enough to go around.
It's basic economics. More supply = less cost.

This thread is endlessly amusing.

 

3.99 here in Northern Michigan

 

We're paying around $3.55/gal

 

$3.99 here in West Michigan too.

 

There is no shortage of oil in the middle east, so its not a short supply at all. And I agree that speculation makes the prices go up and down, but in these last several years it has been up. I guess you could theoretically say that more consumption will lead to speculators driving the price up on the bet that it will get sold and everyone won't be riding bikes instead of using their cars. So I guess you taught me something here which is why good debates are educational for everyone. I also agree that when our dollar is worth less that it will buy less oil. But then I wonder why it is so much more expensive in other places whose currency is doing better than the US dollar. The inflation point you make, reminds me of the Reagan era and yes I also agree with you on that.

 

I agree with you, but no one is willing to spend the money to do it.