Alternatively . . .

{ 12 comments… read them below or add one }

ponce January 7, 2011 at 8:09 pm

“In 2008, experts estimate that up to a third of the $150 price of a barrel of oil was pure speculation rather than natural supply and demand factors.”

Looks like the Republican Party’s Wall Street masters are to blame.

John January 7, 2011 at 11:16 pm

The article fails to point out that speculation is just another form of demand, that speculation assumed prices were going to go up anyway (or the speculators would not have speculated), and that the expected price increases resulting from supply and demand would not have happened if the Democrats had allowed supply to expand.

The MSM did not report this, so you probably didn’t know. Just thought I’d tell you.

ponce January 7, 2011 at 11:48 pm

“The article fails to point out that speculation is just another form of demand”

Jesus had another name for it.

Darrell January 8, 2011 at 4:17 pm

The Left coordinated the run up of oil prices on the future’s market, probably using money fronted by Arab oil producers initially.
OPEC needed a way to increase oil prices without changing the marker price after 9/11 without incurring the wrath of the Western public.
The Left at first wanted to kill W’s 2004 re-election bid, but the American economy was able to absorb the cost increases without falling apart.
And they ran Cap’n John Kerry. Those profits were used to fund the trading losses that triggered the collapse starting in August/September 2008.
Bush’s sin was allowing the first tun-up to go on without getting the DOJ involved and exposing the plot and seeking convictions. The rising oil prices were more than compensating for insurgent strikes against Iraqi production and that was minimizing US taxpayer money needed for Iraqi reconstruction.

When prices roses so spectacularly, obviously real investors joined in to take advantage of the best “game” in town.

The records are there for prosecution if they don’t get sent down the memory hole with the Left controlling things. The , of course, we have Statute of Limitations. . .

First step in proving this “theory?” Release the names of the new players that entered the oil futures market in 2003/2004. Before then, only big oil purchasers and big oil producers used the futures market for hedging–covering future cost changes up or down to lessen the risk of price fluctuations.

ponce January 8, 2011 at 7:45 pm

Purrell,

You have officially earned the rank of crackpot.

Kudos to you.

Darrell January 8, 2011 at 9:50 pm

Says the liar for political spin that trolls for pay.

Remember how the Democrats were trying to get Bush to empty out the National Petroleum Reserve in 2004, saying it had to be done?
If anyone thinks that Democrats who are only interested in representing the International Left are looking out for America or the American people they can get in line for the mental health benefits in ObamaCare. One day the peasants are going to awaken and it ain’t gonna be pretty for the Democrats. A month without cameras should about do it.

You can give me access to SEC records , or maybe some “angel” at the SEC can see if Julian Assange is just a Left-Wing asshole or really is interested in destroying secrets and lies independent of political ideology.

John January 9, 2011 at 11:01 am

Hitching Jesus to your wagon? You’ll have to explain that, you know.

ponce January 9, 2011 at 1:09 pm

The term “Den of thieves” comes to mind when I see a wingnut defending taxpayer funded speculation that increases the price normal Americans pay at the pump for gas by 50%.

The fringe right really have no answers for the failure of capitalism over the past few years.

Except to yell louder, of course.

John January 10, 2011 at 5:10 am

In spite of your conspiracy theorist blather, the speculation assumed that prices were going to go up. Prices were expected to go up because demand, relative to supply, increased. It is the Democrats, and not the Republicans, who have done everything within their power to restrict any and all increases in supply.

And of course the Democrats’ passion for high business regulation and taxes made doing business with China more attractive, causing their economy, and demand for oil, to increase.

So no matter how you cut it, high oil prices are nobody’s fault but the Democrats.

As for the “den of thieves,” Solomon described the work of thieves quite well. They ask other people to help them rob the defenseless, with an offer to share the loot. In a like manner, Democrats say, “Vote for us, we’ll tax other people, and share the proceeds with you.” The Democratic platform is a culture of corruption that far and away exceeds anything the Republicans have even attempted.

ponce January 10, 2011 at 10:02 am: “Prices were expected to go up because demand, relative to supply, increased. ”

The article linked to in the original post said $50 of the $150 a barrel price we were paying for oil at the peak was due to speculators driving up the price, John.

Do you understand what that means?

You post suggests you don’t.

Reply

Darrell January 9, 2011 at 2:36 pm

The term “Jawbone of an ass” comes to mind whenever you flap yours, ponce-the-liar.

Al Gore in Earth In The Balance (1922) was pushing for $5/gal gasoline, to be implemented immediately.
The national average for regular unleaded was $1.13 that year, so Gore was advocating a four-and-a-half fold increase.
That would be about $7.75 in 2010 Dollars, but you know that taxes wouldn’t have been confined to the rate of inflation.
That’s the failure of Socialism and central planning, which has ALWAYS FAILED. EVERY TIME.

Sp ponce the magic liar is feeling for the little guy out of one side of his mouth, while pushing for the high gas prices to minimize evil carbon dioxide
out of the other. The media didn’t cover Cancun because the peasants would come after these wankers with pitchforks. The participants in the global conference basically said let’s stop talking about our science stuff, which even we don’t believe, and get on to discussing our take—how many $Billions we will get every year from the new global taxes. Now the Leftist spin is that it is sad that the Press didn’t cover Cancun when the future is in the balance. As if the Media isn’t one of the forks on the tongue of the Left. Pathetic.

ponce January 9, 2011 at 4:48 pm