I have talked a bit about price controls
I was wondering if anybody else agrees with me
I am of the opinion that pump gas will go to 5/gal on average this yr
Now I know the Biden administration wants EV and one way is to make fossil fuel expensive, but this yr is too soon. People will complain about gas and food prices, thus price controls
You're exactly right Wayne.
I agree with everything that you say.
Their plan to go completely electric car and fake green energy is in fact to increase the price of fossil fuels to make fake green energy(solar and wind) more competitive.
However, the plan to make the switch is more like a green fairy tale that can never happen in real life because it blatantly flawed.
Even in the beginning stages of trying to impose it.........we are encountering the realities that make it impossible.
One of them is the damage to the economy and peoples lives of really high fossil fuels.
Another is the extreme disruptions and threats to lives in some cases caused by NOT having enough fossil fuels in storage or being supplied.
Texas vulnerable for another winter blackout
Started by metmike - Dec. 2, 2021, 11:36 a.m.
Texas decision to go it alone off the grid & not require winter preparation led to various failures, particularly in natural gas power generation - https://www.sciencedirect.com/science/article/pii/S2214629621001997
I don't think anyone with power is suggesting oil price controls, which would be pretty much doomed anyhow. US oil production is fairly level, somewhat higher than 2020-2021 when it took a hit due to low demand. I don't really see how consumption side decisions to use alternatives increase oil prices. That's the reverse of how markets are supposed to work.
There are a fair number of areas where messed up policies and/or monopolies cause massively inflated prices - eyeglasses, insulin, college tuition, dentistry, etc. Some of these have easy fixes, some don't. With oil, it's more like "Don't buy a Denali to spend 3 hours a day commuting alone & expect gas to stay cheap"
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Well if gasoline is going to $5/gal with crude under $90/barrel you better be buying the refining stocks with both fists.
remember a few years back, when argentina tried price controls. they have high inflation. they thought it was terrible that the price of tampons were going up so much. so they used price controls. you can Not raise the price of tampons. so that item simply disappeared from store shelves. you could not find tampons anywhere in argentina. and if you have a relative going over to brazil, they would take a couple suitcases, and stock up. and they would bring back loads of tampons for all their relatives.
the price controls did NOT work.
most the time that a govt entity tries price controls, it does Not accomplish what you intended.
similar problem when venezuela tried to institute price controls for toilet paper.