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Politicians play pranks with petroleum prices

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Also by Bassey Etim:

Religion: Does it benefit society? (November 29, 2007)
Do Democrats take minority votes for granted? (November 15, 2007)
It's the media, stupid: Political coverage misleads (November 8, 2007)

by Bassey Etim

Tuesday, May 2, 2006

With ExxonMobil posting an $8.4 billion quarterly profit and gas prices expected to hit record highs this summer, the middle class can expect another dent in its financial health. Worse, Congress doesn't seem capable of providing any meaningful assistance besides making it harder to declare bankruptcy.

More important to Washington than high electric and gas bills — which make it harder for the average American to make ends meet — are their jobs, which are up for grabs in November. This, of course, means that it's time to pass out the $100 checks! That's right, Republican leadership in the Senate refused to make oil executives swear to tell the truth in hearings over huge heating bills and even larger profits just a few months ago. Now they figure they can solve this political nightmare by throwing a token amount of money at it. But to be fair, low-income families wouldn't qualify for the check.

This is a political game wrapped in a political game, as Republican leaders who hope to vote on this proposal next week have attached it to a controversial proposal allowing drilling off the coast of Alaska. It seems as if the legislative branch has given big oil the OK to exploit consumers for profit, offered government dollars to pay the political price, while simultaneously giving the oil giants more ways to make money.

Americans must begin to ask whether oil companies have become the most powerful force in government, as they hold our economy hostage, dictate foreign policy and have committee chairs in the Senate so beholden with their agenda that they aren't even sworn in before testifying. And profits in the past three months have outpaced the projected yearly savings from President Bush's proposal to cut 141 federal programs.

It is in the times our nation least needs political games and pandering that the option becomes most appealing to politicians. Right now, the American people need decisive action and a monumental effort to reduce consumption, but all we get from Washington are $100 rebate checks, which is a strange way to prove they are committed to reducing the deficit. We don't need shameless political opportunism, but a real investigation into oil companies and their influence on our purported representatives.

It took a 32 percent approval rating and the possibility of losing Congress for President Bush to give a weak endorsement to an investigation into price gouging. Nonetheless, the outcome of this investigation seems predetermined, as Mr. Bush said in a news conference: "I have no evidence that there's any rip-off taking place, but it's the role of the Federal Trade Commission to assure me that my inclination and instinct is right."

Most politicians are more shameless opportunists than innovators. The Wisconsin attorney general's race has been wrought with this brand of irresponsible debate as candidate J.B. Van Hollen accused Attorney General Peg Lautenschlager of allowing terrorists to train in the state. This statement earned the ire of the FBI, his Republican primary opponents and himself when he realized he had nothing to back up his claims.

A similar dishonorable mention goes to state assembly Republicans, who killed a merger of the state ethics and elections boards in the wake of numerous corruption convictions because some feared the new board would have a prosecutor bent on taking down innocent lawmakers. Yes, I, too, feel politicians should at least pretend to respect our intelligence. What happened to the days when they would get together over cigars and create truly innovative lame excuses?

On a lighter note, this may be my last column of the year, but I can assure you it won't be the last you'll hear from me, as I'll be your Opinion page editor next year. I extend a hearty congratulations to the current editor, Ryan Masse, for running an outstanding page this semester. It will take a massive effort to build on his success, but you can expect plenty of exciting new features from this page next year to whet your rhetorical whistle.

Bassey Etim (etim@badgerherald.com) is a junior majoring in political science and journalism.

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Anonymous (May 2, 2006 @ 8:13am):

Should we see the $100 check as a socialist hand-out or an around-the-way tax cut? Medicare will go bankrupt in 2012 and Bill Frist has 100 million Benjamins burning a hole in his "fiscally conservative" trousers.

If the price of flour and eggs rises, does a baker make MORE profit? Ask Exxon.

Anonymous (May 2, 2006 @ 8:58am):

Repeal the Law of Supply and Demand!

Anonymous (May 2, 2006 @ 10:19am):

The Feds make twice as much per gallon on Gas than did ExxonMobile. But the opportunist politicians are going to check on the company for gouging? The States and Cities levy twice as high a burden on gas but again Exxon making 10 cents a gallon is gouging? With an ROI hovering around 8-10% the oil companies are again the target of stupid people on the left why? Because even educated people can't figure out a simple ROI. They instead look at a big number and say to themself, "Now that seems excessive." Welcome to the politics of numbers used by idiots to sell to idiots. If you don't want politicians to think the public is so stupid then maybe the papers that write to them should stop acting so stupidly.

ExxonMobile has stock that is held by how many pension plans? An investigation like those that have preceeded it will only serve to reduce the return that pensioners and stockholders should recieve. That is just what we need more wealty lawyers like John Edwards and less money going to the common man in the form of Pensions and 401K's.

Anonymous (May 2, 2006 @ 12:11pm):

"With an ROI hovering around 8-10% the oil companies are again the target of stupid people on the left why?"

Why do you limit the stupidity to the Left only? The last time I checked, the president's approval ratings were at 32%. Not only pinko liberals are fed up with rising gas prices, thus hurting the president's approval (admittedly, several other scandals/ controversies are not helping him either).

Your argument about 401Ks and pensions is utterly ridiculous. You're saying that I should want gas prices to rise, make the oil companies rich, and reap the profits in 40 years when I retire?

Everyone, when you buy gas tonight, pay a little extra ($5 per gallon): it's an investment in your future.

Anonymous (May 2, 2006 @ 2:55pm):

"If Demand is Up But Supply is Down, Why Are the Profits So High"?

Anybody? Anybody? Bueller?

http://www.exposetheleft.com/2006/04/30/russert-bodman/

Anonymous (May 2, 2006 @ 6:02pm):

Ha! This is one issue no one can blame us Jews for. Tough luck, Nazi boys!

Anonymous (May 3, 2006 @ 10:47am):

The president approval rating is reflects convservatives who are pissed off that we are not blowing up more stuff and killing Islamofascist who continue to attack our troops in Afghanistan and Iraq. We do not suffer from a desire to fight a nice war. If you in for a penny your in for a pound.

In addition, we are pissed off at the utter incompetence that is being allowed to occur on our southern border. We demand that our borders be protected one of the actual jobs the Feds are supposed to do in this country. And that we stop pandering to Spanish speaking immigrants and treat them like Russian, German, Kenyan, Korean, and Turkish immigrants who are all forced to learn English and read forms in the common language of this country.

As for Gas Prices what are you a baby. Do you have a right to demand a $1.50 gas and at the same time tell Oil companies that they can't drill for oil of the Florida coast, we leave that to Castro and China, the California cost or anywhere new in Alaska. Not to mention that the environmentalists wacko's have prevented new refinery's from being built. You reap what you sow and I'm sowing Exxon, because the left in this country doesn't understand economics 101, because they are all sucking on the teets of diversity 1 oh dumb and victimization 1 oh dumb.

As for the President he can't run for office anymore, and unlike the King of Saudia Arabia he can't force gas stations to reduce their price by 15% with a stroke of his pen. You either raise supply or lower demand to reduce the cost of gas at the pump. China and India don't seem interested in reducing demand so your price is going to go up unless we increase supply. In order to increase supply you have to drill for it or dig for it. Or you can run around with Chicken Little AlGore and pretend that the Sun doesn't cause global warming.