omooc

Oil Manipulations Exposed

As usual, Davis has an excellent post. I think Tom Friedman's column in today's (5/28) NY Times is instructive. The price of gas is too cheap in US. Double it, and the demand would drop. It is already having some effect right now -- with gas at $4, the demand is down by 1 percent or so. Double it -- to a level common in Europe, and demand will be down substantially. Don't get me wrong; I do not have any position in oil. I am a retiree -- when I was gainfully employed, I took the public transportation every day, even though I had (and still have) a car. I read that, in metropolitan DC, the bus ridership has been up substantially. This is the behavior we have to encourage. Forget about blaming other countries -- their citizens have as much right to use oil as people in USA.