I would not trust the US Govt to manage my retirement portfolio, or raise my kids, let alone use funds from a gasoline tax to find viable alternative energy sources. Comparing European gas prices to US prices is a bit like making the assumption that since Brazil can use 100% ethanol, why can't we? While I don't understand the continued use of SUV's in this country, the fact remains that the US consumer has the freedom to decide what to do with his or her money.
If there was any doubt regarding the tone of this piece, for the record, this was a tongue in cheek response to a serious issue. Oil is being politicized (when hasn't been?) in an election year, and once again, Big Oil is made out to be the enemy. It's easy to make the populist arguments; they resonate well with consumers who are paying more at the pump. But lets see these arguments for what they are: double speak, designed to infuriate the population.
No one likes shelling out $3.50 per gallon of gas or $4.00 for heating oil. But more government intervention will lead to a much worse situation: shortages. Putting controls on profits is the same as price controls---and we all know how that usually turns out.
If the Number of Net/Nets is a Contrary Indicator, the Market is in Trouble [View article]
Net/Net refers to companies that are trading below their Net Current Asset Value. Net Current Asset Value is derived by the following: Current Assets-Current Liabilities- All Long Term Liabilities. This is then compared to market cap. Ben Graham devised the formula, although he preferred companies trading at less than 2/3 NCAV. For more, please refer to postings on the site.
Land Holdings Review 2008 (Part I) [View article]
Exxon Mobil: The Root of all Evil? [View article]
Exxon Mobil: The Root of all Evil? [View article]
No one likes shelling out $3.50 per gallon of gas or $4.00 for heating oil. But more government intervention will lead to a much worse situation: shortages. Putting controls on profits is the same as price controls---and we all know how that usually turns out.
If the Number of Net/Nets is a Contrary Indicator, the Market is in Trouble [View article]