Booze, Baseball, and another "B"

Thursday, September 01, 2005

As if there's a QUESTION here....

I really liked this article from the AP. The writer, H. Josef Herbert, does a good job of maintaining a "detached" style of reporting. The tone of the piece is very neutral (if not even possibly leaning toward the Oil Companies). He doesn't assert that there is price-gouging going on with gas prices (there is), he just puts forward the situation, and presents the issue in a very "hands-off" manner. From the tone of the article, the situation is presented as more of a "maybe."

Of course he also points out that gas prices rose 30 to 50 cents over night in many parts of the country. Nine days ago, in my last post on this issue, the average price of gas was pegged at $2.55 (which means the actual average was probably $2.65-2.70). Now, in this article, and other places on the internet, gas prices are shown as quickly closing in on $4.00 per gallon. Which means the average price throughout the country is probably $3+ per gallon, which equals an increase of more than 10% in the last week or so.

But just maybe it's price gouging.

If socialist parties were smart, they'd be telling people that it's time to rise up and revolt against the bourgeois-run oil companies. Luckily for the people who don't buy into communist ideas, the socialist parties aren't smart.

So what does it all mean? Well, my prediction from the beginning of the year (which preceded this blog, otherwise it would be on record here), that gas would break $3.00 per gallon this summer, came true. I hate being right all the time. What else does it mean? It means that if oil companies are allowed to continue their price gouging against the citizens of the US, the economy is going to keel over. Many of the rich , the President's "base," will start to feel some of the effects: their stocks are going to take it in the pants when the middle class ends up having no money left for food or other purchases because all of their money is going to gas, their H2s are going to start costing $1000 per month instead of $500, and mutual fund managers, in light of the decreased contributions from the middle class who have to put their retirement money into gas purchases, will start giving themselves pay raises and bigger bonuses, since they're managing their portfolios through "hard times," however the funds will lose money.

But just MAYBE the gas companies are price gouging.


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