Gas Prices

[Paulster2]

Looks like a few people don't understand the world economy. As long as the dollar gets weaker the price of oil will continue to rise. When the economy does turn around demand will go up and gas prices will go through the roof.

Exactly.

Exactly. The value of the dollar was higher because we had a balanced budget and were coming out of debt. The only reason the dollar isn't worth a kick in the nuts now is because we have such debt. I wouldn't say demand wasn't as high either. How can you even assume that? What facts do you have to support it? I'm not saying you're wrong. Just friendly arguement.

Leading economists (who have a clue) agree that the reason gas prices are so high is because of the falling dollar. When the government pumps out $600B (yes, B as in BILLION) dollars worth of freshly printed currency which isn't worth the paper it's printed on, the strength of the dollar will continue to deteriorate, and gas prices will continue to go up. Bernake was absolutely stupid (not trying to make this political, so please do not take it that way) in doing this. And his reason? He wanted to WEAKEN the dollar so our goods will be cheaper to overseas markets. And what does it do for us? Nothing, because the Chineese continue to put out crap product for a rediculously low price and out sell us on everything. The thing is, when you print funny money, the next thing to happen is inflation. The best way to fight inflation is to raise interest rates. Yah, can you spell Carter era all over again. (For a small education, interest rates at the end of the Carter administration were well over 20% ... enjoy those single digit rates right now, cause they won't exist much longer).

I could rant on and on about this, as it's just plain stupidity. With the way things are headed, we won't need to even think about low gas prices for a long, long, long time.

/rant