Monday, February 28, 2011

Gas prices and BS

Fox 7 News published an article on February 25th, after seeing gas prices increase up to ten cents a gallon. It is claimed that the event occurring in the Middle East is the biggest factor affecting gas prices. Now, I personally think that is a bunch of BS. The article says that "Our major oil supplier is us. After the United States, our next big oil supplier is Canada, then Mexico, Venezuela and Saudi Arabia." Therefore I do not comprehend why gas prices are increasing so rapidly, if we supply our own selves or import from other American countries before we import Middles Eastern petroleum. On the Tax foundation website, it shows that there is twenty cent tax for every gallon of gasoline. Now, the consumer will not discontinue pumping gas, we must commute from one place to another. Transportation is a must. However, the government does not benefit on price increase since the tax is set by the gallon, not by percentage of price on the gallon. In fact it may get hurt. Consumers will keep driving to a minimal. Business will decrease, specially the delivery industry. Where the government would benefit is by ruling the oil industry in the Middle East. Every time oil prices go up there is an issue in the middle east. And every time there is an issue in the middle East, the U.S wants to intervene.  The article says,  "the US may have to step in.... [since] Iran is perfectly capable of taking over the entire region, politically, culturally maybe even militarily in America's absence." I'm sure Iran I capable of doing such thing, but where do we get the idea that they want to do that in the first place? Perhaps it is us, the U.S that would like to prevail in the Middle East. Gas prices and politics is a bunch of BS, just like this article. The untitled author has no credibility for trying to influence our minds, that Iran will attempt to dominate in the middle east and that the U.S should step in and stop them, so we will not suffer of higher gas prices.

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