Tuesday, April 29, 2008

It's the system, stupid.

Oil and gasoline prices are soaring, and the usual shallowpated cafe-democrat ("every event must have have a cause" as Kant yawped back in the day) starts to point talons fingers. What Dodius the DNCocrat doesn't realize is, one, the petroleum crisis has been building for years. It's not strictly Bush's fault (though he and his cronies in Exxon did not help matters), any more than fluctuations in the stock and futures markets are. Politicians do not control the market (the pseudo-liberal barking "Bush is Hitler"! really helps the right with his moralistic whines). The actions of their economic advisers might have some effect on the market (via slashing interest rates, etc.) but the trading and industry issues ( refinery overheads, etc.) are the driving factors. The trading and pricing depends on the supplies, and reserves are being depleted.

Had she bothered with the cliffsnotes to Adam Smith, Dodius might have known that when supplies dry up, prices go up. Managers mark-up fast-selling items. Similarly, as oil reserves dry, the value of the barrels go up. It's a shame, but not really one person's responsibility--whether politicians, or some middle-eastern petrol-sheiks, or cowboy oil-men, or slimy British Petroleum execs. Yes, oil executives should be held accountable--Lee Raymond, enemy of the People--but the market itself--whether stocks or commodities--was built for capitalism (ie for autos, AND the oil and gas necessary to keep 'em running), and when the petrol dries up a few will become wealthy, and the masses will, more than likely, abandon their SUVs, fall into anarchy, or perhaps blossom into Hugo Chavezes.


J said...

WHOA! Kid Obama on the Imperial Ministry of Info. aka Foxnews! Contingencies update soon to follow.

Will "take no prisoners" Hart said...

Politicians and the people who they serve need to realize that the government doesn't really affect the economy all that much. There's this other little thing that some of them may have heard of. It's called the business cycle.

J said...

The typical blogger-moralist could care less about the commodity market, or discussing oil reserves: she needs her cartoon villains.

Really, we here at Contingencies agree that a Cheney will do as villain: I do think the GOP exaggerated the dangers of Hussein, and sold the war (and most Dems bought it): with the help of the israeli hawks.

War is good for bidness, usually--including the zionist/pro-israeli businesses (such as BP) who now are reaping its successes. But the narcisso-crat doesn't look at BP, other oil companies, or even Elliot Abrams, or Kissinger--it usually sees only the Goering-like Cheney, and starts frothing at the mouth (usually a sort of sublimated attraction--when a DU gal starts ranting about Hitler, she's trying to get to her Daddy).

In a world of Villains--whether Americun, Euro, Asian, muslim, communist---, however, Cheney's just one of many. RealPolitik means all wear black hats and play for keepsies.

Will "take no prisoners" Hart said...

My opinion of Cheney basically mirrors that of Brent Scowcroft, "He's not the same Dick Cheney that I used to know." I site, specifically, the brilliant response he gave back in '93 - the question being, why didn't you topple Saddam after kicking him out of Kuwait?

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