Socialism – Not Big Oil – Is Cause of High Gas Prices

You’ve heard it all before. Big Oil is picking your pocket. Speculators are to blame for $4 gasoline. We need to drill less, and conserve more. We need to tax the oil companies more.

True to form, the Left can’t grasp why gas prices are so high because the refuse to acknowledge a central premise of price structure – the free market. It is the very socialism promoted by “progressives” which has been a major culprit in the high price of oil.

Recently, oil prices have dropped a bit. Why? The market is working in America and its citizens are making a deliberate effort to conserve energy in order to save money. A classic case of supply and demand – the free market at work.

Overseas, countries like China, India, Mexico and Venezuela subsidize the price of fuel. What is the effect? A gross distortion of the market.

More Socialism Below the Fold

Trending: Thank You

Why conserve, when fuel is cheap? This is precisely the argument used by the Al Gore types when they previously advocated HUGE increases in the federal gas tax. If we had to pay as much for petrol as they do in Europe, we would all be stuffed into Minis.

Of course, to make such an argument now would simply guarantee Republican majorities throughout the land. Yet, why won’t the Left recognize the same logic when it applies to their socialist brethren?

That’s different.

It is, but only because they wanted a government imposed price distortion in this country that was the inverse of what we are seeing in countries like China and India today.

cross posted at Delmarva Dealings

Send this to a friend