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LookieNoNookie -> RE: Canada OKs oil pipeline to the Pacific Coast... (6/23/2014 5:49:14 PM)
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ORIGINAL: MrRodgers
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ORIGINAL: LookieNoNookie
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ORIGINAL: DesideriScuri
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ORIGINAL: Sanity
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ORIGINAL: DesideriScuri
The President has little ability to impact the price of gasoline. There's plenty of shit to pile on Obama, but this isn't one of those turds.
Bullshit
Placing oil fields off limits through executive order, putting off the pipeline decision forever, directing his EPA goons and his IRS goons etc to crack down on every aspect of the energy industry, etc, are but a few of the ways Obama has driven fuel prices (and food prices, and electricity prices etc) to a six year high
What does our petroleum production look like? Looks like we haven't seen this level of production since the early 1990's.
I think a more damaging impact is the devaluing of the dollar, which has been going on since the Reagan Administration, at least.
Yep.
The value of the dollar as is any currency, is only in comparison to other currencies and then as a store of wealth. Not true. Who besides the United States has a "reserve currency"? (Answer: No one). The United States, alone, deems the value of the U.S. dollar solely because...everyone wants it. Does that mean that oil won't rise as we flood the market with dollars? Nope....but, read the papers....what other country has money flooding in to it's Treasury? (I'll help). None other than one other: The United States. Is it deserved? History is the only diviner in that question. That means the labor one can expect to obtain for each unit. The current rather than historic devaluation of the dollar has been in almost lock step with overall US borrowing since 2000 (since 1980 to be more specific. There is a huuuuuge difference between inflation, deflation, devaluation and "common perception of intrinsic value") and at all levels not just the federal govt. although that makes things worse.
That the US consumer is also required to borrow more and more to try to pay their bills compounded by business and govt. debt, has the markets concerned that [we] will not be able to continue to pay the interest. (All debt is not equal and the fact that both the feds and the consumer have borrowed {prior to 2007} in lockstep...the consumer faaaaaaaaaar in excess of the feds, does not at all have anything to do with anyone's {the world's included} perception of the U.S. dollar. Indeed, the borrowing habits of the world, even as we were profligate, with few exceptions, even exceeded ours). This in turn means that as borrowing costs go up and debt goes up even further to cover it...the currency (you probably mean, U.S. currency, which, if true,is not in fact at all true, as money has flooded into U.S. Treasuries since 2007) loses its battle against other currencies because 80% of the world still holds US dollars in reserve and may now start selling it and any dollar-fixed debt. There's no chance of that for at least another 5 - 10 years because there's no alternative. For now. (Not forever).
This causes a downward path resulting in the sale of dollar denominated debt which will increase interest on more debt which further reduces the dollar as a future store of wealth. This has nothing to do with oil. (Actually, the converse is true, but that's easily 5 screens worth of education) The only reason interest rates haven't spiked already is the fed('s) increase in balance sheet debt and the stubborn world-wide, anti-inflationary belief in the American workforce. (labor)
That last sentence made absolutely zero sense. I am however certain, based on previous writings that you know what you intended to say...you just didn't.
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