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"In April ... crude oil was $7 a barrel cheaper than last year (but) gas prices were almost 50 cents a gallon higher." (http://www.detroitnews.com/apps/pbcs.dll/article?AID=/20070517/AUTO01/705170326/1148)

http://www.cleanmpg.com/photos/data/501/3_199_gas_prices.jpgH. Josef Hebert - AP - May 16, 2007

With crude prices down from the same period last year and gasoline well above $3.00 per gallon, some are beginning to ask tough questions.

WASHINGTON -- While oil companies blame soaring gasoline prices on unexpected refinery shutdowns, Congress is questioning whether industry mergers and investment decisions have erased a supply cushion.

The House Judiciary Committee's antitrust task force Wednesday opened the first of a number of hearings on oil industry concentration with its chairman noting that gasoline prices have soared well above $3 a gallon and asking, "How did we get into this mess?"

"Oil companies today are enjoying record profits, and while they could use those profits to invest in more production capacity, instead they use the money to buy back shares in the markets," complained Rep. John Conyers Jr., D-Mich., the panel's chairman.

John Felmy, chief economist at the American Petroleum Institute, rejected suggestions that companies want to curtail production to keep prices high and said refiners have been producing record amounts of gasoline … http://www.detroitnews.com/apps/pbcs.dll/article?AID=/20070517/AUTO01/705170326/1148

Looks like they're just hoarding as much money as they can so they can prepare for the next natural resource to monopolize.

Since Gas Prices and Political Satisfaction (That is, how satisfied Americans are with their US Government) are directly linked, it's no surprise that the Government is finally starting to take further action, though given the amount of Oil influence, you wonder if this will be anything but a show instead of real action that's long since been necessary.

If oil companies are enjoying record profits, now must be a good time to invest in oil.

Washington ought to quit subsidizing it.

Since Gas Prices and Political Satisfaction (That is, how satisfied Americans are with their US Government) are directly linked, it's no surprise that the Government is finally starting to take further action, though given the amount of Oil influence, you wonder if this will be anything but a show instead of real action that's long since been necessary.

Here's something I'd like to point out. The government is complicit in the prevalence of gas-hog vehicles on America's roads. It is hypocritical for the government to now complain about gasoline prices, when they played such a large part in creating the monster that is the American fleet of fuel-inefficient vehicles.

First of all, the government collects sales tax on vehicles, so they are more than happy to have us all buy high $$ SUV's and large pickup trucks. The more direct link is the obvious fact that the government collects taxes on gasoline sales. They are henchmen in the popularity of gas-hogs on the road, because it suits their interests to have more gasoline sold. It means they collect more taxes!

Why do you think there has been no meaningful effort to impose CAFE standards in the US?

It is laughable that the government would now cry foul on high gasoline prices. They helped create this situation through their misguided policies and corruption. Another reason for lack of fuel economy standards is payoffs from lobbyists representing the Big Three.

Harry

I have actually heard and read government officials complain about fuel-efficient vehicles. They are afraid fuel-efficient vehicles will throttle back their collection of gasoline taxes.

That's a fact, and a strong reason we are in the mess we are in right now.

Harry

If fuel efficient vehicles make it hard to collect enough gasoline tax to maintain the roads, what's so horrible about raising the tax to compensate? I don't see why we have to squander fuel just because our lawmakers are weenies.

If fuel efficient vehicles make it hard to collect enough gasoline tax to maintain the roads, what's so horrible about raising the tax to compensate? I don't see why we have to squander fuel just because our lawmakers are weenies.

That's exactly the problem, they are weenies. They are terrified to raise the gas tax openly, so they do it covertly, by tolerating and even encouraging the prevalence of gas-hogs on our roads.

Harry