WTF is going on with the price of gas??

[Super Sled]

the reason is the dollar is losing it's value due to obama printing money like never before. When the dollar loses it's value due to over saturation of the market, investors run to commodities like oil as protection against the falling dollar. Oil is trading in dollars.

This countries monetary policy is so WRONG. It's so short term that it is going to cause huge inflation in the future. A $100 in the future is going to be worth about $10 if we keep printing money and bailing everyone out. The FED Reserve used to not be affected by politics. That all changed.

y-guy's point is excellent. Be prepared for hyper-inflation in a few years. The Federal Reserve is/was printing money as fast as it can and then using that $$ to buy debt from the Treasury, effectively making interest rates 0%. Kind of an ingenious idea, but will come around and bite you in the #*$&@ in the end.

Why do this?

In a way the US Government had to. Nobody was stepping up to buy the Treasury Bonds, and we desperately needed cash for the bailouts and stimulus, and to run the country. So hence how the practice got going.

Don't you remember China scolding at the US a few months back for doing this????? They were pissed. Instead, they wanted the US to beg them to buy our bonds, which they are slowly buying some of.

But it the practice, along with other factors, will devalue the dollar, which will make the cost of commidites, like oil, to become more costly to purchase with the US dollar.

But there are good reasons for a lower US dollar also, which Obama has said he actually wants. It means we can compete better in world trade. We can export more. We will probably buy less from abroad. You just don't want it to drop too much.......

Mike

 

[birkebeiner]

The difference between $2.50 and $3 a gallon when filling the tank on your Apex is about $5.

Buy less beer.

 

[birkebeiner]

Thanks for posting that!

He is exactly correct.

Even the idea that we are burning "fossil fuels" is not true.
Very few scientists will back up the idea of "fossil fuels"
(Most that do, work for oil company front companies.)
While it is true oil is carbon based, so is most everything on earth, that doesn't make everything "fossil fuel".

Most scientists believe the earth has a mechanism that makes oil (that has nothing whatsoever to do with dinosaurs and/or plants), and that is why most any oil find will well outperform even the most optimistic estimates prior to pumping the well.

Holy crap, can you document this?? Let's keep these conspiracy theories out for now...

Some background information on Hydrocarbons: http://en.wikipedia.org/wiki/Hydrocarbon Just to prove that Hydrocarbons are more then the fuel you put into your car. It gives you fleece clothes, plastic, cosmetics, etc, etc.

And if you big heavy truck with a V8 is consuming a lot of gas and is not efficient, buy a smaller diesel car (diesel engines are way more efficient then gasoline).

 

[birkebeiner]

We have the lowest gas prices of any country i've been to, because we have a free gas market

Mark

Not entirely true. The high gas prices in other countries are mainly due to government taxes and duties. E.g. in Norway, the government tax and duties (VAT) is around 70% of the pump price. And the pump price are typical around NOK 13.00 pr liter (unlead 95 premium), that makes it approx $8.5 pr US gallon.

The funny thing is that the biggest retailer of fuel in Norway is the state oil company....


On another note, it's not a matter of how expensive the gas it, it's a matter of how much you earn to afford it Remember, sledding is a luxury, not a human right!

 

[birkebeiner]

the reason is the dollar is losing it's value due to obama printing money like never before. When the dollar loses it's value due to over saturation of the market, investors run to commodities like oil as protection against the falling dollar. Oil is trading in dollars.

This countries monetary policy is so WRONG. It's so short term that it is going to cause huge inflation in the future. A $100 in the future is going to be worth about $10 if we keep printing money and bailing everyone out. The FED Reserve used to not be affected by politics. That all changed.

y-guy's point is excellent. Be prepared for hyper-inflation in a few years. The Federal Reserve is/was printing money as fast as it can and then using that $$ to buy debt from the Treasury, effectively making interest rates 0%. Kind of an ingenious idea, but will come around and bite you in the #*$&@ in the end.

Why do this?

In a way the US Government had to. Nobody was stepping up to buy the Treasury Bonds, and we desperately needed cash for the bailouts and stimulus, and to run the country. So hence how the practice got going.

Don't you remember China scolding at the US a few months back for doing this????? They were pissed. Instead, they wanted the US to beg them to buy our bonds, which they are slowly buying some of.

But it the practice, along with other factors, will devalue the dollar, which will make the cost of commidites, like oil, to become more costly to purchase with the US dollar.

But there are good reasons for a lower US dollar also, which Obama has said he actually wants. It means we can compete better in world trade. We can export more. We will probably buy less from abroad. You just don't want it to drop too much.......

Mike

You should all keep in mind that the US public debt is 12,000 billion!! Think of it, how much is that?? That's the US owing the outside world... Maybe all those wars wasn't such a good idea after all
Read this: http://en.wikipedia.org/wiki/United_States_public_debt

Check this as well: http://www.usdebtclock.org/

Your defense budget is almost as high as your domestic medicare budget...

 

[arteeex]

Hey now! We have every right to start wars. We're America dammit!. Maybe Norwegistan will be next on the list. I've still got room on my credit card.

 

[y_guy]

Alan Greenspan was also one of the worst fed chairman we ever had. Again, his short sightedness on everything hurt us. Pump up the housing market, let it crash... (example).

You can not flood the market with dollars and expect the dollar to be worth anything. Why do you think there is such a rush on gold?

our FED is very short sighted. It's all about politics. Obama knows that he just has to make things good now and not worry about later. and why? he is taken care of for life.

 

[arteeex]

Better.

 

[zackn291]

WoW Phazernut! Out here, my premium is $1.15 liter....and race fuel....don't even go there LOL

Regular around here has been $.952 for quite sometime now. I couldnt tell ya what premium has been.

 

[karl]

This post is a hoot If you are really interested in knowing what is going on with economics and the world at large read a book called "The Shock Doctrine" by investigative journalist Naome Klien. She lays it out pretty clear. Then either pull your head out of the sand and do something about it, or just put the paddle to the bar and ride. Being self-aware and fully informed is about the best you can do. The BIG US multi-nationals are who sets the stage, not governments. They are also the ones taking home all the cash - your tax dollars at work.

 

[y_guy]

karl, that is only slightly correct. The gov't spent 787 Billion in tax dollars in the so called stimulus. The gov't does NOT produce anything. They don't make anything.. they take everything. When you spend like that, you are creating debt. When said debt becomes unmanageable or unpayable, the worth of our economy shrinks.

It will take many many years just to pay back the interest. Foreign gov't's own our debt. They can call it making the dollar worthless. So to speak, the gov't is gambling our future. Bush had a deficit of 458 billion. Obama increased it by 3.5x to 1.4 trillion which is unmanageable.

This again causes people to buy things that are useful such as commodities like oil. It's a hedge against the dollar.

Our monetary policy is a mess and will cause hyper inflation. The more dollars we print, the more inflation we will have. This means that those who saved lets say 500k for retirement, will only be worth a fraction of that when this hits. I don't mean to be a downer, but these are the facts. our elected officials are being irresponsible and gambling at a table that isn't going to produce. The next step is raising taxes further hurting the economy because it hurts spending and economic growth.

 

[karl]

y_guy, I agree totally with what you have said, only I view the statements you have made as the symptoms not the disease. Who got the stimulous money? Mostly Banks and big business after they took record profits. BTW they are posting big profits now and really throughout the resession. The World Monitary Fund, Central Banks and big multi's love these resession. IMO this has been the biggest rape and pilage of the tax payers of the world(big business and the wealth pay few taxes). Look locally at your big trade unions and what has happened to the member benefits and wages - all driven down. Where did the money go - it dosn't just disappear. Follow the $$$$ and you will see. Read the book and you will have a lot to think about. Governments job/product is to re-distribute wealth through taxes and project funding. Free market interests are to centralize wealth in the hands of a few. Read up on The Chicago School of Economics and the late financial guru Milton Friedman. Look beyond the horizon of the fear and disaster message.

 

[birkebeiner]

[...] Bush had a deficit of 458 billion. Obama increased it by 3.5x to 1.4 trillion which is unmanageable [...]

So you are saying that it's Obamas fault that this debt increased?? The financial crises didn't start because of Obama, it started way before, he wasn't even elected when it started. He had no choice but to save most of the banks, because had they all collapsed, you've been all screwed!! All your savings would be gone, you could get any cash, not use the ATM, not use your credit card, etc. So don't blame Obama for US debt!

 

[birkebeiner]

Hey now! We have every right to start wars. We're America dammit!. Maybe Norwegistan will be next on the list. I've still got room on my credit card.

Heey man, we are Allies I know we have the oil you so desperately want...

Just for your info, the Norwegian government state Pension fund is now worth 2,600 billion norwegian kroner, approx $445,000,000,000. So no public debt in Norway And we are less then 5 million people in this country... No wonder I can afford riding my sled just for fun

 

[Swiss Sledder]

Hang on guys, let's keep politics out of this thread as it is against the site rules.

The majority of the time when politics comes up on this site, it turns ugly because people have very strong opinions. This is a snowmobile site so please take your political views to a more appropriate site.