July 10, 2008

Latest Pajamas Media Column (‘Democrats Drive an Economic Downturn’) Is Up

Filed under: Business Moves,Economy,Taxes & Government — Tom @ 6:15 am

It’s here, with a good tease:

Harry Reid says coal and oil are “making us sick.” But it’s really him, Pelosi and Obama that make the economy sick.

I will post it here at BizzyBlog on Saturday morning (link won’t work until then) under the title “The POR (Pelosi-Obama-Reid) Economy: Are the Democrats Deliberately Driving a Downturn?”

The Pajamas column has sentiments similar to those found in what I put up last Thursday on the same topic.



  1. Another Liberal Myth, the US has no energy policy http://conservablogs.com/publiusforum/2008/07/05/another-liberal-myth-%e2%80%93-the-us-has-no-energy-policy/

    Pardon my shameless self promotion.

    Comment by dscott — July 10, 2008 @ 11:32 am

  2. Another excellent article that compliments yours:

    How the Greens Captured Energy Policy


    Comment by dscott — July 10, 2008 @ 12:34 pm

  3. #1, that’s very well done, and I’m glad the link is in the comment for future ref.

    Comment by TBlumer — July 10, 2008 @ 2:16 pm

  4. #3, thanks. I view all these articles as educational to our er, less than informed and communication challenged leaders. If there were any brains at all within the GOP leadership, they, not us would be explaining to the American People how things work and where we need to go. It just seems to me that we have a bunch of Keystone Cops running the GOP. They have been so busy compromising with the Dems, they lost their grasp of the issues and therefore direction.

    All actions spring from knowledge or the lack thereof. We just can’t assume everyone has the same base of knowledge anymore. How can we have a debate of ideas when the people listening don’t have the knowledge base to weigh the ideas? It therefore falls upon us who know better to educate our fellow Americans. We have to fill in the gaps of knowledge due to the incompetence of our school systems and the fog of propaganda by liberals.

    Comment by dscott — July 10, 2008 @ 3:18 pm

  5. Restricting Speculators Will Not Reduce Oil Prices


    by Mr. Pirrong, professor of finance at the University of Houston

    Producers and consumers who want to “hedge” in this fashion cannot wave a magic wand to make the price risks they face disappear. The oil producer has to find somebody to sell to, and the airline must find somebody to buy from — and that somebody is often a speculator. Restricting speculation would increase the costs that producers, consumers (such as airlines), and marketers (such as heating-oil dealers) pay to manage their price risks by reducing the number of traders able to absorb the risks they want to shed.

    These higher risk management costs would result in higher prices at the pump or the airline ticket counter for consumers, and less investment in new productive capacity — which would keep prices high into the future.

    Which highlights the actions of SouthWest Airlines buying fuel in the futures market being a savvy move saving themselves and their customers money and why the rest of the airlines who foolishly stayed with the spot market got hurt.

    A good example of the spot market is when you go with your car to the gas station you buy at the price currently offered. If the station offered to sell you gas at a set price at some future month you would not experience the price fluctuations. The airlines have this option but we as car owners don’t. The current offer price is subject to immediate price swings from a myriad of influences, a futures contract is less so. The current petition drive by the airlines regarding speculators is not only self defeating as it will lead to GREATER price instability on the spot market where they foolishly choose to buy jet fuel, it doesn’t solve the real issue of tight supply brought on by an incompetent Congress.

    Comment by dscott — July 11, 2008 @ 9:14 am

  6. #5, thx for the info. Very good article.

    Comment by TBlumer — July 11, 2008 @ 10:03 am

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