September 5, 2005

In The Public Interest
Bush, Katrina, and Big Oil

From Ralph Nader's weekly column on nader.org.

...Gasoline was averaging $1.36 per gallon on January 3, 2000, and is now racing towards $4 a gallon, having soared over $3 per gallon in many localities this week. Oil analysts are not reporting any shortages of supply worldwide, until the rigs and refineries were hurricaned last week in the Gulf of Mexico region raised such specters. OPEC has been pumping oil at record levels. There has been no sudden spike in demand.

......

If the price of wheat suddenly doubled, why would the loaves of bread in your supermarkets suddenly be marked up or the loaves on their way in transit? The price hike for wheat would not have reached them. Then why does the price of oil and gasoline spike up when these supplies were already purchased at previously lower prices?

......

Such questions are not on the minds of Bush and Cheney, who hail from the oil world. Imagine - experts in the industry that is gouging America that they are, and they keep leaving America and Americans defenseless.

click here for all of it

There was a lot more but it was just a little bit over my head, but the wheat:bread/oil:gasoline analogy was my favorite point that he made.

Is the price of gas really supposed to increase so quickly, even if production in the Gulf is slowed down so much?

I heard Bush said that price gougers were going to be arrested, I wonder what his idea of gouging is. I think we've been getting gouged for years.

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