Monday, March 23, 2009

It's Oil Stupid

America has taken its eye off the energy issue. Last summer the price of gasoline became the straw that broke the camels back. As prices cruised beyond $140 dollars a barrel mark employers started cutting back on hiring and began down the road to laying off the work force to save what they could of their businesses. This cascaded and increased the the pressure on the already stressed housing and financial markets. The crisis reached full boil and the economy crashed. Demand for oil fell and the price for oil dropped below $40 dollars a barrel.

With the oil prices down the our Congress forgot all about energy. In fact the Democrats in charge have been busy floating new ways in which to increase the price of oil through taxes. These Congressional leaders forgot the pain of last summer already. The Democrats only see oil as an evil that must be taxed out of existence. The Congress will not allow drilling off our shores and have put it off for another year. The problem is that the price of oil can only go higher.

Today oil pushed above $54 dollars a barrel coinciding with the Obama and FED plan to pump trillions of dollars into the economy. By promising to print and spend money on a broken economy the dollar is yet again tanking. We as a country will soon be paying over $2 dollars a gallon for gasoline by Memorial day. Any economic gains made by pumping in trillions of dollars will be wasted because the rising oil prices and sinking dollar will offset the gains. Our economy will not be able to move forward out of this mess until we can control the cost of oil. Right now we have the means to keep oil prices low by drilling our own. We could promote nuclear technology that is becoming more and more popular across America. We must do something to keep energy prices in check or our economy will not recover fully.

It's about oil stupid. Oil is again increasing in price and the dollar is sinking. We must keep both of these in check or the economy will spin its wheels. What we need is a comprehensive energy plan that will create jobs and keep oil prices low. Pumping trillions into an economy will only crush any growth.

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