Isn't it time our government stepped in to stop the increase in oil prices?

Question

I'm all about small government and government staying out of our lives, but isn't it about time the US government stepped in and said enough is enough? High oil prices are crushing our economy, not to mention my wallet. The US gov't needs to seize control of all American-owned petroleum companies, do all the foreign oil purchasing itself, and set a ceiling on what it will pay per barrel.

Again, I don't like big, interfering governments, or any type of socialism, but 100 dollars per barrel is ridiculous. Need i remind anyone that 8 years ago, street prices for unleaded gasoline were ONE FIFTH of what they were today?

*chuckle* I'm pleasantly surprised at the fervor I've stirred up. No, I don't really think this should happen. I do, however, have the bad habit of playing moron's advocate.

So here's a better question: Since our involvement in the Middle East has obviously destabilized the region, and an unstable ME often causes oil prices to skyrocket, what can our government reasonably do to stabilize the region with the unapologetic and direct purpose of lowering oil prices?

Answer 1

NO!!! Go live in Russia you communist.

Answer 2

NO! It is time to stop exporting our oil, and use it ourselves. Oil prices could be better controlled by removing out of the hands of the "oil investors" and the stock market. They are the main reasons for the ridiculous prices we see today. Every time someone takes a shi.t on a pipe line in Africa,an ominous cloud in the Gulf of Mexico or a cut back of .0000345% output at a refinery, the price of barrel of oil skyrockets. It's all a crock of shizzit. As far as environmentalists go, they can suck a root, they should have no say in where and when our country needs to extract oil, period. They are another huge reason why costs are as high as they are and no regard to human life. Space shuttle Columbia was a good example of that. The tiles were not being made in an evironmentaly safe way, so they were changed, causing the Columbia tragedy and the problems we still have today.

Answer 3

I am shocked at how many peps here have no clue! Free market lol! Look people our Nation is run by corporations. The oil companies are still using the same old refineries they have had for decades; the cost of getting the oil from out of the ground hasn’t changed much for decades. In other words we are being played a fool. And to top it off our heads of state are in the pocket of the oil cartel. The oil companies play the market and force the price up.
Yes we need to conserve and find new energy sources that a no brainer. But believe me the oil cartel is laughing its azz off to the bank!
But no we can not have to Gov force a price fix on oil, that would be abuse of power.

Answer 4

You are a little behind the times. The government IS attempting to control oil prices by invading an oil-producing state (Iraq - twice!) and threatening another (Iran). The west has done this since World War 1.

By this action, ALL oil-producing states fear our wrath and keep production up, even if it was in their best interest not too.

But ultimately, the price of oil is set by commodities traders and since demand is increasing and will overtake production in a few years, even with military intervention, the price will continue to rise and also rise at a faster rate.

In the short term, my suggestion to you is:

1) Move closer to work
2) Take public transportation
3) Carpool
4) Ride a bike
5) Walk
6) Buy a scooter
7) Buy a car that gets better mileage

And most of all, prepare yourself for very soon oil will be $200 a barrel.

Answer 5

The price of oil is set by the market, and there's no way for the government to bring it down substantially. Furthermore, most of the steps that really would bring it down, by encouraging conservation and thereby reducing demand in the market, are blocked by folks like you who want the government "staying out of our lives".

You really have to decide which one you want, a government that will be small and stay out of our lives, or a governent that will be able to do things like reduce oil prices, or detect lead in imported toys and E. Coli in foods before they poison consumers. Politics is about making choices, and every good comes with some bad attached. The idea that the government can always be there when you want it and never be noticed the rest of the time is a fantasy.

Answer 6

Explain how this would work, exactly, and don't forget to include all the know ancillary effects (read: the parts the pols don't talk about when telling you all the great things they're gonna do for you - like give you cheaper gasoline and heating oil).

Oh, and don't forget The Law of Unintended Consequences (read: the parts the pols don't talk about when telling you all the great things they're gonna do for you - 'cause neither they nor anyone else foresaw what was REALLY gonna happen on the way to being given cheaper gasoline and heating oil).

And, most certainly don't forget this: be careful of what you ask for - you just might get it (read: there's no such thing as a free lunch).

Answer 7

Hmmmmm, You really think the Oil companies, want to pay $92 a barrel for oil to countries like Canada, Mexico, Venezuela and Saudi ?

How does that make them money ? when they have to pay more for the oil the refine ?

So just how would the US Government, tell Canada, Mexico, Venezuela and Saudi, this is what we will pay for oil ?

And when they say " fine, we'll sell our oil to someone else"

Then what ?

The reason the price of oil is going uip, is their are more people wanting to buy oil, then there is oil to sell.

So if the US government tried telling a country, we will only pay $50.00 a barrel, they would just sell the oil to China for $92 a barrel.

Your idea makes no sense at all.

Answer 8

I agree that it's expensive, but I remember when there were price controls on oil. The oil company's stopped drilling. I would prefer that the government stop giving subsidies to oil company's. I would also allow drilling in the Gulf and in ANWAR which has more oil deposits than Saudi Arabia. The environmentalists won't allow new drilling so we're stuck with high fuel prices.

Answer 9

Pull your head out.

We Americans are officially on the wrong side of history here. Decades of U.S. policy including lots of tax breaks and subsidies have kept prices artifically low. They've paid a lot more than we do in Europe for a couple of decades now.

We import more than half our oil. And world demand is such that the U.S. doesn't have any power to influence prices. If we seize domestic companies it won't solve anything, and if we demand to limit what we'll pay for imported oil the oil suppliers will just laugh and gladly sell to the rest of the world. All your ideas would do is economically destroy the U.S. I hope you don't have any say in U.S. energy policy.

Prices were one fifth present prices 8 years ago because supply was higher, more steady and more secure, and demand was lower. Things change.

If you want oil prices to go down, find some dinosaurs and squeeze some petroleum out of them.

Answer 10

WE NEED TO APPLY US LAW
The government should not take private property.
There are US laws, anti trust, anti competative practices, price fixing, this administration doesn't prosecute for that nor for environmental laws. Not applying our laws and letting big business run wild will hurt our economy, our small businesses , new businesses and the general population, but good for a few oil executives.

Russia has cheaper fuel prices.

Back in the 1880's to 1930's we know that capitalism must be regulated or our country will end up with an Oligarcy like in Russia and some other bananna republics. and thats what we have done until this administration.

This administration has done nothing to encourage people to drive hybreds, nor has any US auto company been selling hybreds like Toyota, so why should anyone complain when Toyota is now bigger than General Motors?

Answer 11

nope, that's why it's a free market.

Now, the speculators are saying $100/ barrel. If that price can be sustained, that's one thing. Every time someone sneezes in the ME prices go up or down (usually up!).

Things have a way of evening out over time.