It’s hard to think that increasing gas prices alone can derail the economy and Barack Obama’s re-election along with it, but the media certainly makes it seem possible with their headlines.
I remember during the summer of 2008 - in the heat of the presidential election - we encountered the same issue. Democrats tried to blame higher gas prices on then president George W. Bush. There were talk of opening up our oil reserves, more drilling, and regulating speculators.
We weren’t sure if the world was just short on oil, or was it just speculators who drove up the price of oil like derivatives drove up and destroyed the housing market. Overall, nothing much happened in terms of policies to stop oil speculation because oil prices eventually started to ease.
What happened was people fought back. They did it by driving more efficient cars and using alternative methods of transportation like walking, biking, and using public transportation.
It seems like the same thing is happening all over again. People are asking the same questions. Is it the Iran sanctions - countries on board with the sanctions stop buying oil from Iran - that cause a decrease in oil supply or speculators betting on higher gas prices because of the improved economy?
The U.S. is reacting the same way as it did in 2008. The Republicans are blaming Barack Obama’s policies when they very clearly said back in 2008 when Bush was president that the chief commander doesn’t have much of an effect on the price of oil. Congress is debating whether or not to open up our oil reserves and, yes, more drilling. So far, there haven’t been much talk of regulating speculators though.
I think speculators who bet on oil has a lot to do with it. I’ve noticed that when the economy or the stock market goes up, oil prices follow. Recently, we have been getting some of best economic news in years - unemployment is dropping, businesses are slowly hiring, the stock market have gone up significantly, and even the housing market is showing a slight glimmer of light. As I expected from all of this good news, gas prices went way up - almost at the level of 2008.
At the end, other than Democrats and Republicans trying to point the finger at each other, I don’t think congress will do much about it. They’re just gonna talk and argue. That’s it.
It’ll be up to us - the people - again. We’re gonna have to drive less and start using alternative methods of transportation again - walking, biking, and using public transportation. Good thing that winter is almost behind us, and it’s beginning to get nice and sunny again.
We’ll be fine. The economy will continue its path towards recovery, and Barack Obama will most likely be re-elected. And all we have to do is drive less and get some sun.
