gas prices going to drive economy like the 1970's

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badcats2k

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portland, oregon
Is it just me or does anyone think that $4.00 a gallon gas is going to crush our wages and drive the cost of living out of control. Seems like I remember houses costing 10-20k in the early 70's and when gas doubled in price housing went up 3x. As did everything else. Remember the .10 candy bars?
 
I'm not old enough to recall those times, but I hope the $4.00 gas is not the first wave of history repeating itself! I'm getting married in May and will be looking for a house in the next year!!!
 
Sadly, it's already happening, higher gas prices drive everything that is reliant on it up, which then pushes other services higher for compensation.
It will slow down when gas prices level out, the problem is that we all rely on our mobility so much in this country to get to work, food, entertainment, and the oil companies know this, and they will continue to make record profits until someone not swayed by their influence caps their profit margins.
 
... in a way, its going to bite Oil Company in butt the way prices are going.

Because, at this time its not feasible yet to look for alternative fuel. I know there's hybrid, corn, and other alternative but they're expensive to process. But when price of oil is so high that it is feasible to do research and find other alternative fuel, and figuring out it is cheaper to process, then what happens to Oil Companies (and the Arabs) when there's no more demand for oil?

Not sure if it will happen in my life time though. :?
 
I agree with RR.

Biofuel like corn wont work for the simple reason that we don't have enough.
But if more and more people start driving hybrids the demand for gas will go down and the big companies will lose. Also with oil as high as it is it is becoming more and more reasonable to start getting some oil out of canada ( Canada has huge oil supplies but they are mixed with sand. But at the price oil is at now it is logical to seperate it)

I don't get the point of a hybrid escalade, tahoe or any suv. Do you?
 
The economy is cyclical and has peaks and valleys across time; usually around 15 years +/-. You can also track the economic peaks and valleys and see that they track somewhat with war-time and military operations; and maybe not in the direction you would think at first thought.

We've just come out of a very super-charged period of growth where most people have been living rich, high and on credit. Now there will be a period of adjustment downward; aside from lowering interest rates there is little the government can do other than attempt to slow or mitigate the adjustment. The housing and mortgage market is a perfect but sad example. The economy will eventually settle and then begin to grow again which is why real estate and stocks are decent long-term 20+ year investments and not so good for short term.

Regarding oil, we have ample oil right here in the ground underneath the United States and off-shore but no one wants oil drilling in their backyards so we're dependent on foreign oil. Hybrid cars are great for the environment and conservation but they primarily serve in the short term to raise the cost of fuel. If the foreign oil countries are used to making $X zillion selling a specific amount of oil, they'll just raise prices to make the same selling less which is actually a great deal for them; do half the work, produce half the product and make the same amount of money. The call has been to reduce our dependence on FOREIGN OIL not to harvest our own.

The United States has become a service economy where most of us perform services that cannot be exported instead of products that can be exported. We can't even get US citizens to pick our crops, paint our houses or do basic labor work. This creates a vacuum for illegals to come in and do the work we don't want to do. If we all had to pay US wages to get a computer or other electronics built in the States we'd still be playing an Atari game.

Here's a link to a CNET article about Bill Gates asking congress to let them hire more foreigners to come over here to do jobs our workers are either not interested in, trained to do or willing to do for reasonable wages.

http://www.news.com/8301-10784_3-9892046-7.html?tag=nefd.lede

That's what I think!
 
robstar said:
....We can't even get US citizens to pick our crops, paint our houses or do basic labor work....

As a commercial/industrial electrician, I've seen many immagrants on jobsites doing basic unskilled labor...doing drywall, roofing, trash detail, etc. I had never seen one doing electrical work, plumbing, or anything taking some skill, until lately. The company I'm laid off from hired about 30 Guatamalan "temporary" electricians about 2 years ago due a lack of skilled manpower in this area. That number grew to 50, then 60, then 70, etc. Unfortunately as the workload slowed up, the company laid off many of it's "permanent" employees and kept the "temporaries" working because they were cheaper to employ. You can bet your *** that the 5 owners of that company are sitting in their million-dollar houses eating steaks and driving their expensive Cadillac SUVs to go golfing every other day, while I'm struggling to keep food on the table and a roof over my family's heads.

As for the original post, the oil companies are causing prices to rise on everything except for wages. The prices of steel and copper have skyrocketed due to the oil needed to excavate and refine them, causing companies who use these materials to raise their prices to stay profitable. Unfortunately, also increasing wages will not help a company in their profitability.

...and OPEC is blaming the world's ecomony on "mismanagement of the US economy."

Keep pointing the finger, OPEC....just keep on pointing while you're bending us over.
 
mikey383 said:
...and OPEC is blaming the world's ecomony on "mismanagement of the US economy."

Keep pointing the finger, OPEC....just keep on pointing while you're bending us over.

I will cherish the day when I can bend them over! :lol: :lol: :lol: My next hotrod will probably be methanol/ethanol powered. :twisted:
 
I'd love to also, but I doubt that we'll get that chance in our lifetimes.

I'd ask them to use lube while they're bending me over, but that's an oil product, and they sure as hell wouldn't give it to me for free, and I can't afford it anymore since I have to put gas in my car.

So for now, could you please just spit on it OPEC? Please?
 
I'd ask them to use lube while they're bending me over, but that's an oil product, and they sure as hell wouldn't give it to me for free, and I can't afford it anymore since I have to put gas in my car.

So for now, could you please just spit on it OPEC? Please?


This is the funniest thing i have herd all week :lol:
 
robstar said:
The economy is cyclical and has peaks and valleys across time; usually around 15 years +/-. You can also track the economic peaks and valleys and see that they track somewhat with war-time and military operations; and maybe not in the direction you would think at first thought.

You are wrong on just about every level here. Although what you say is true, that war-time spending and military projects do have an effect on the economy; this is mostly due to how those funds are appropriated and the volume of funds. They affect the market in many different ways, but they do not affect the "peaks and valleys".

Those peaks and valleys are manufactured. They are caused by the Fed's meddling with the money supply and interest rates. For all of you who are clueless, The Federal Reserve is a Privately run Bank. It has no actual gold reserve or any other sort of collateral. The Fed creates money out of thin air, and the Commercial Banks lend 9x more money based on that newly made money.

So don't give me this crap about inflation and the economic recession because its bullshit. The growth and recession cycle is forced upon the economy by the Fed and its parent World Banks.

If you want to learn how the system works, and how you are being swindled out of your money, then watch this documentary. This is no wild conspiracy theory either. This is well documented and based on historical FACT. The Fed goes back to the time of the founding fathers, however, at that time it was called the "The First Bank of The United States". When Jefferson (1801-09) became President he opposed the bank as being unconstitutional and when the 20 year charter came up for renewal in 1811 it was denied.

Nathan Rothschild, head of the family bank in England, had recognized America's potential and made loans to a few states, and in fact became the official European banker for the U.S. Government. Because he supported the Bank of the United States, he threatened:

"Either the application for renewal of the Charter is granted, or the United States will find itself in a most disastrous war."

He then ordered British troops to "teach these impudent Americans a lesson. Bring them back to Colonial status." This brought on the War of 1812, our second war with England, which facilitated the rechartering of the Bank of the United States. The war raised our national debt from $45 million to $127 million.

On May 10, 1816, President James Madison signed the Bill which created the second Bank of the United States.The bank was run by the Illuminati, through such international banker "front men" as John Jacob Astor, Stephen Girard, and David Parish (a Rothschild agent for the Vienna branch of the family).

Andrew Jackson Kills the Bank (1828-36)

People began to see how much power the Bank really had, and the voter backlash led to the election of Andrew Jackson as President in 1828. His slogan was: "Let the people rule." Jackson maintained: "If Congress has the right under the Constitution to issue paper money, it was given them to be used by themselves, not to be delegated to individuals or to corporations." Jackson said that the control of a central bank "would be exercised by a few over the political conduct of the many by first acquiring that control over the labor and earnings of the great body of people."

The Bank began to flourish under its new President, financier Nicholas Biddle (1786-1844), who petitioned the Congress for a renewal of the Bank's Charter in 1832 four years before its current charter expired. The Bill for the new Charter passed the Senate 28-20 and the House 107-85, and everyone knew how Jackson felt. Biddle threatened: "Should Jackson veto it, I shall veto him!"

Jackson did veto the Charter, and abolished the Bank in 1832. He ordered the Secretary of the Treasury to remove all Government deposits from U.S. Banks and deposit them in state banks. On January 8, 1835, Jackson paid off the final installment on our national debt and it was the only time in history that our national debt was reduced to zero and we were able to accumulate a surplus, $35 million of which was distributed to the States. Nicholas P. Trist, the President's personal secretary, said: "This is the crowning glory of A.J.'s life and the most important service he has ever rendered his country." The Boston Post compared it to Christ throwing the money-changers out of the Temple.
In the Senate, the Glass Bill was referred to the Senate Banking Committee and reported back to the Senate on November 22, 1913. The Bill was now known as the Glass-Owen Bill. Sen. Owen, who opposed the Aldrich Bill, made some additional revisions in an attempt to keep [the bankers] from completely dominating our monetary system. Sen. Elihu Root of New York criticized some of these revisions and some points were modified. It was passed by the Senate on December 19th.

The Bill the establish the Fed was hastily prepared without any public hearings and on December 23, 1913, two days before Christmas when many Congressmen were away from Washington, and was signed by Wilson, and thus the Federal Reserve Act into law.The gold and silver in the nation's vaults were now owned by the Federal Reserve. Baron Alfred Charles Rothschild (1842-1918), who [had] masterminded the entire scheme, then made plans to further weaken our country's financial structure.

Our economy is controlled by the old world bankers. Our gov't is powerless to control is own money supply. And last time I checked Money= Power.

http://video.google.com/videoplay?docid=-515319560256183936

http://www.modernhistoryproject.org/mhp/ArticleDisplay.php?Article=FinalWarn02-1
 
yesterday i filled up my jeep with 18 gallons at $2.199 a gallon, this is in virginia, how are prices north and south?
 
dmt said:
You are wrong on just about every level here. Although what you say is true, that war-time spending and military projects do have an effect on the economy; this is mostly due to how those funds are appropriated and the volume of funds. They affect the market in many different ways, but they do not affect the "peaks and valleys".

Those peaks and valleys are manufactured.

Regardless of how the peaks and valleys are created or "manufactured" they are the current reality and we must all deal with them since we have little if any power or ability to change the current system unless we elect radically different leadership. If we can't immediately control how the game is played, we have to play the game as best as we can. Since the economy is cyclical, and it is regardless of why or how, we live in a reality world of peaks and valleys. We're in a downward swing at the moment and it will eventually bottom out and climb out of it.

I think this whole thread started on gas prices that definitely hit my wallet since it's costing about $130 to fill up my Hummer these days.
 
dmt said:
And last time I checked Money= Power.

I finally figured out why my ex-wife wants all of my money....

Dmt, that was a very educational post. Thanks for enlightening me. I've always felt that the banks are screwing everybody, now I know why.
 
robstar said:
....it's costing about $130 to fill up my Hummer these days.

If I put $20 in my Honda, that doesn't even put me at the half tank mark.

Sadly, when the car was manufactured back in '89, that would have been 3 tanks worth of gas.
 
t0m said:
yesterday i filled up my jeep with 18 gallons at $2.199 a gallon, this is in virginia, how are prices north and south?

Are you sure you don't mean $3.19? If it's a little over $2 there, I'm making the trip to Virginia and stocking up on a few hundred dollars worth of gasoline.
 
AustinK said:
I agree with RR.
( Canada has huge oil supplies but they are mixed with sand. But at the price oil is at now it is logical to seperate it)

Actually, it's nuts, it takes more energy to get the oil out than the oil can produce. Total is seriously considering putting a frickin' nuclear reactor in northern Alberta to generate the energy necessary to exploit the tar sands. It only makes short-term business sense, from any scientific or economic point of view it's laughable.
 

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