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Re: Gas hits $2.50 in San Francisco
Quote:
Originally posted by elfuq
OK, it's $2.49 and 9/10 at the Chevron across from my apartment. And gas in California is more expensive because of more stringent emmision laws, and gas in the Bay Area is more expensive still because of .. I have no freaking idea. Oil companies want to rip off liberals or something.
But this has got to damage the economy, right? And while gas prices leap in response to oil price hikes, other prices and trickle-down effects take way longer. Food will cost more because it costs more to hawl it. Air travel will cost more because of the cost of Jet-A, which will reduce passenger loads which will drive prices up further.
Money spent on fuel will not be money spent on capital expenditure, which will damage the B2B economy (thinking this area) the computer business, which will trickle down to UNEMPLOYMENT!
And the election is in, what, 5 months? It's too late for George's Saudi buddies to really help. Oil prices MAY go down over the next few months, which with the usual lag will reduce the price at the pumps. But the economic damage done by this crisis won't be played out in 5 months.
If Kerry can focus on the economy for the tail end of the campaign, or even if he just shuts the hell up, Bush will lose this election.
OK, that was a rant. I would be very interested to hear my points taken apart logically.
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You are making way too much out of fuel price hikes. While long lasting fuel price hikes will dampen the economy slightly while prices are adjusted to compensate, there's no chance these hikes will impact the economy significantly before the election.
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Strive to be more curious than ignorant.
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