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  • Embracing Pain The Pump [Edit or Delete]0 comments
    Feb 20, 2012 10:25 PM
    Embracing Pain at the Pump

    We need to learn to embrace pain at the pump, instead of constantly complaining about it as the liberal media and blogs tends to do. The libs are still spreading the lie (just like they did in 2008) that surging gas and oil prices will hurt the economy. This is completely wrong, and I empathetically believe that even when oil hits $140 and gas $5+ gallon there will be no discernible negative impact to the economy that can be attributed to the increase. The experts have predicted at a 25 cent increase in gas prices from today's levels could depress GDP by a whopping quarter of a percent. With the dow up 10% this year, no one on Wall St. is losing sleep over that. Money spent on gas, like any other form of consumer spending, goes strait into GDP and retail sales figures. Surging gas prices is not only a byproduct of economic recovery, but a catalyst for further gains. Also, there will be no media manufactured financial crisis to send prices lower as was the case in 2008, nope..gas will keep rallying for the entire year.

    Let's hope speculators keep bidding gas prices higher, to get commuters and small businesses spending like they're supposed to. I hope there;s more tensions is Iran to keep prices high. Let's have more drill baby drill, even though I will concede that the republicans are wrong that more drilling programs will lower gas prices; it won't because the supply will take an eternity to hit the market but such rhetoric will help the GOP upend wealth spreading Obama administration. Gas prices keep going up due to massive global economic growth, perpetually low interest rates, speculation, and Iran tensions magnified my intense media coverage. If Obama loses gas prices still keep going up and the GOP knows this. Even if McCain had won we would still see $4 gas. As Bush's presidency has shown, republicans are powerless to lower gas prices, and in fact want it to go higher because of its economically stiumulative effects. Keep in mind gas is in inelastic good, which means demand is changed only very slightly as prices surge. You can't readily switch from a more expensive gas station to a cheaper one, as you would from designer clothing to walmart. Any pennies a gallon saved from a cheaper gas station would be offset by the extra driving, and the additional indirect costs of potentially getting fired for being late to work. In a productivity driven economy like the one we have today, employers are looking for any excuse to fire workers and tardiness is at the top of the list, which means employees have no choice but to keep maxing out the credit card to fill up the tank. The surge in gas prices has also helped the GOP by turning rising prices as a talking point against Obama. Already, Obama's polls are falling due to pain at the pump, in addition to the birth control mandate, and to a lesser degree Whitney Houston's death, which some voters have attributed to Obamacare.

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