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It's Time for the President To Be Honest About Gas Prices

Gas has gone over $4 per gallon across Wisconsin. It's time for President Obama to be honest with the American people about gas prices.

With a long track record of support for handouts to special interests, corporate welfare that stacks the deck against small businesses and loopholes in the tax code that place an undue burden on the middle class, it should come as no surprise that career politicians like Barack Obama aren’t being honest with the American people when they talk about gas prices. 

Gas prices have doubled since the president took office. Washington should know by now that simply ignoring solutions to the problems we face does not make them go away—it just makes them worse.  

Instead of aggressively pursuing solutions that will ease your pain at the pump and help achieve American energy independence, President Obama and his allies in Congress are writing off the meteoric rise in gas prices as a product of tensions in the Middle East. Their logic is disingenuous, their rhetoric is dishonest, and the consequences of their inaction are having a devastating effect on the pocketbooks of Americans nationwide.

Middle East tensions have existed for decades, but gas hasn’t always cost $4 per gallon. That is because the rise in gas prices is not being dictated by dictators; instead, it is a byproduct of the federal government’s massive debt and deficits. Because the federal government is borrowing nearly 40 cents of every dollar it spends, the Federal Reserve is engaging in quantitative easing—i.e. money printing.

There are a variety of technical reasons for why the Fed is doing this, but simply put, there are not enough willing buyers of treasury debt at current interest rates, requiring the Federal Reserve to monetize our government’s debt.

The consequence of the Federal Reserve’s actions is the de-valuation of the American dollar against all basic necessities. Oil, sugar, corn, wheat, beans, gold, silver and tin are just a few of the commodities that have seen their value increase exponentially as a result of our nation’s reckless and short-sighted fiscal and monetary policies.

While I absolutely agree that we need to build the Keystone XL Pipeline, tap into our domestic oil supply and invest in new energy technologies, it won’t be enough. All of the oil in the world won’t cure the ills brought on by our federal government’s reckless spending and the Federal Reserve’s irresponsible actions. 

Sound fiscal and monetary policy is the key to economic relief. Sadly, far too many of our leaders in Washington either don’t understand this correlation or are unwilling to be honest with the American people. It is due time that those who we elect to be our voice have a level of economic competency and speak frankly while pursuing solutions that will solve our problems today instead of continually making politically expedient excuses and kicking the can down the road. 

If we truly commit ourselves to fiscal responsibility by reining in the Federal Reserve and ending the wild printing of money, we can ease our pain at the pump. 

For more information about my plan for American energy indepdence, please visit www.EricForSenate.com 

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Steve ® March 30, 2012 at 07:41 PM
We agree then. With higher demand comes the need for more supply, drill baby drill
Steve ® March 30, 2012 at 07:43 PM
So cutting the supply will lower the global crude oil price?
Steve ® March 30, 2012 at 07:45 PM
You get about 1/2 the millage on E85. Try burning it and towing a trailer on an F150. It is cheaper only becuase of the huge subsidies involved, it can not survive on it's own and more and more local gas stations are pulling it from their tanks as no one is purchasing it. As JB states we can not burn our food supply.
Taoist Crocodile March 30, 2012 at 07:55 PM
Does anyone remember the "The Stand" TV miniseries? I was looking at the author's profile pic, and wondering, "where have I seen this guy before?" Oh yeah... http://www.screened.com/jamey-sheridan/14-447967/all-images/132-447968/pdvd_036_thumb/131-265984/
J. B. Schmidt March 30, 2012 at 07:57 PM
@Menoparent American Profiting, what about the inability to by beef or pork, because they eat the corn. I would assume you would be against Big Corn. Are you talking about the same Brazil drilling for oil in off their cost, with the support of Obama? Yep, we should be just like them.
Menoparent March 30, 2012 at 08:05 PM
give me a break, we have plenty of corn and ways of growing it! If gas stations are taking E85 out, then why did the station on Pilgrim and Lisbon recently add it? And Brazil uses E85 in most of their cars. JB, you said it, not me "Evil Republicans"
J. B. Schmidt March 30, 2012 at 08:10 PM
@Menoparent I never said they were removing it. The E85 in Brazil is made from sugar cane and their growing season is slightly different from ours. I enjoy how have nothing to add to the fact that Brazil is drilling for oil. The price of pork has gone up 85% since the decision to use corn as fuel, but who cares we are all profiting.
Menoparent March 30, 2012 at 08:11 PM
Plus, Plus, if you increase the production of corn, you could probably get rid of the farm subsidies to farmers that let their land stay idle.
Randy1949 March 30, 2012 at 08:14 PM
*snerk* Eric Hovde = Randall Flagg? Sorry, Jamie Sheridan and Eric Hovde aren't quite awful enough to play the 'Walkin' Dude'. Although Evil does tend to hide behind a fair face.
CowDung March 30, 2012 at 08:18 PM
What about the ethanol subsidies?
CowDung March 30, 2012 at 08:22 PM
Menoparent: Funny how you seem to be the only person that gets the same mileage with E85. Even the government says you should get reduced mileage with E85 and have higher fuel costs... http://www.fueleconomy.gov/feg/byfuel/ffv2000.shtml
Menoparent March 30, 2012 at 08:34 PM
That's right Brazil is profiting as we would too. The point is to subsidize till enough people are buying it and then they can sustain on their own. Which is what should have happened with the oil subsidy. Brazil may be drilling, so are we in the Gulf, what's your point? Beef went up 85%?? What were they paying for it before and now? We love T-Bone and always buy it when it's on sale. There is always a pro and con to every decision. What has to be weighed is the lesser of the evils. And, yes, our gas mileage is the same believe it or not, it's a newer full-size truck.
Taoist Crocodile March 30, 2012 at 08:35 PM
I'm not saying that Eric Hovde is the Antichrist, and I'm certainly not suggesting that he's going to wipe out 97% of humanity with a mutated flu virus and then summon us to Las Vegas in our dreams. I'm just saying that it's -interesting- how right-wing talk radio refuses to talk about Eric Hovde's resemblance to Randall Flagg. I also think it's -interesting- that Eric Hovde has never produced his birth certificate. And why has Eric Hovde's campaign been -silent- in the face of rumors that he can turn into a crow? What are they hiding?
CowDung March 30, 2012 at 08:42 PM
I'm not buying your 'same mileage with E85' claim. Not a single vehicle on the list gets close to the same mileage on E85 as it does on gas. 2011 Model year: http://www.fueleconomy.gov/feg/byfuel/FFV2011.shtml 2012 Model year: http://www.fueleconomy.gov/feg/byfuel/FFV2012.shtml
Randy1949 March 30, 2012 at 08:49 PM
In that case, I'm not saying I plan to head for Boulder and the nice old black lady. M O O N -- that spells voting for Tammy Baldwin!
Johnny Blade March 30, 2012 at 08:54 PM
You can't get the same mileage, as ethanols power density is much less than gasoline so you have to burn more volume of ethanol to achieve same horsepower as gasoline
Gregory Kluck March 30, 2012 at 09:57 PM
@Menoparent...I drive a 2010 HHR Panel truck that gets about 32 mpg on average. I tried E85 and got about 26 mpg. Nope, my truck did not get the same mileage and it performed like a dog. Lack of power climbing hills or carrying me equipment. Some of my friends that have turbo equipped cars like it because it's great at the drag strip, but not on the highway. They have computer tunable timing in their cars
Gregory Kluck March 30, 2012 at 10:12 PM
Actually, the Brazillians use about 25% Ethanol in their fuel. That also is tied to the harvest of sugar can so the blend can change several times a year. Until the release of the 2009 VW Polo, all flex fueled vehicles in Brazil had to have an auxiliary start up tank to allow the engine to reach operating temperatures. This was also a problem when I modified my 1969 Buick 350 V8 powered car to run on 20% alcohol in the 70s. I was the first to sell "gasohol", as it was called back then, in California. We sold an E10 mix like today. With sensors and fuel injection, computer timing control, a car can run decent on E10. Not so back then.
mau March 30, 2012 at 10:23 PM
Difference is, when Bush was president, it was all his fault. Now the president has nothing to do with the price of gas. Funny how that goes.
Marty March 31, 2012 at 02:24 AM
How about all the above? Isn't it time we had a domestic agenda that could multi-task?
Bren March 31, 2012 at 05:10 AM
Yes, but other experts were much closer, yes? Saudi Arabia, Qatar, etc.? And yes, it is Iraq's oil. Why indeed would the Bush administration have expected Iraq to pay for its own invasion?
Jay March 31, 2012 at 11:12 PM
Its the free market at work with no regulations....if Republicans win say hello to prices like this in all kinds of industries, they will take away the restrictions and these Rich leaders of these wonderful companies will squeeze all us middle class folks for everything we have till this countries dies.
George April 02, 2012 at 02:36 PM
while it's frustrating, it is a world market 4 oil. having said that, the president's policy has not helped the "folks" at all!
Keith Schmitz April 02, 2012 at 02:41 PM
Looks like Hovde is the same know nothing cheap shot artist as Rojo. Surprise us Eric. See if you have the ability to come up with something other than a FOXfed talking point. BTW -- here's the video of Dr. Zeke Emmanuel mopping the floor this morning with Rojo on Morning Joe http://www.msnbc.msn.com/id/3036789/ns/msnbc_tv-morning_joe/#46924479
Michael Bietz April 03, 2012 at 03:21 AM
StSw, Economics 101 yes, but Oblameo has done nothing to keep gas prices down. He has not encouraged new refineries, he has denied the keystone pipeline, he has reduced the amount of drilling and oil production on Federal lands. All this before we talk about what he and his administration has done to eliminate oil production if the Gulf of Mexico. So what is your point about Republican spending in the past? What about Oblameo's record on the deficit and Federal spending? care to address that? I doubt it. You libs are all bluster and no substance.
Michael Bietz April 03, 2012 at 03:29 AM
So we should stop trying to lower gas and oil prices?? Let's set up wind mills and plug our cars in, start raising horses and mules and riding our bikes 25 miles to work? That is the Oblameo plan.
John Jacob Jingleheimer Schmidt April 04, 2012 at 04:12 AM
Hovde, you are clueless. You obviously know next to nothing about efficient markets. Gas costs 25 cents a gallon less when you get out of southeast Wisconsin. You need to get out more.
Justme April 04, 2012 at 01:02 PM
Obama WANTS us to pay more for energy. My last count of solar and wind turbine companies that we're highly subsidized that have already gone bankrupt is 14. http://www.youtube.com/watch?v=HlTxGHn4sH4
Samantha Cook April 05, 2012 at 12:44 PM
I agree that we need to do something about gas price being so high, because this is just crazy that we are paying 4 bucks a gallon. On the hand I think we should find more energy effcient way to get around, because gas and oil will not last forever one day it will be gone. So we need to start to look into new types of energy.
James Gottemoller April 06, 2012 at 02:37 AM
I said this in several different venues. Ramp up production in the Balkans (North and South Dakota). Get this Keystone pipeline built and get it in use. There are estimates of 200-250 yrs worth of oil in this area. If there is truth to this, why we messing with Iran, Iraq, and the others. Back to economics: Currently 6 companies control approximately 53% of refinery capacity. This is monopolistic. No refinery built in the US since 1976. When oil production is fine and no production threats, we still have to deal with all the boutique gases being created thru so few refineries. Economics: Low supplies and increased demand. Gee, this increase prices. It is economics and not the president controls this. So do you still want to blame the president? The Bush administration saw the highest price ever for a barrel of oil ($145). Gas prices and oil prices sure were done in 2008 just as the election was coming. But there were no jobs, the financial system was on the verge of collapse, the republicans for years allowed housing to go on its destructive course. Oh, maybe they didnt have anything to do with housing, no different than Obama having something to do with gas prices.

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