Gene’s Nickle: Economic Collapse

During the second presidential debate, there was a short exchange about energy production in the US. To my mind, it shows how lacking in thought or conniving our current president is.

Governor Romney commented on the current energy strategy, if there is one:

“The proof of whether a strategy is working or not is what the price is that you’re paying at the pump. If you’re paying less than you paid a year or two ago, why, then, the strategy is working. But you’re paying more. When the president took office, the price of gasoline here in Nassau County was about $1.86 a gallon. Now, it’s $4.00 a gallon.”

I happen to agree with this assessment. The cost of gasoline affects everything we do: industry, heating our homes, transportation, the price of food and consumer goods, the vacations we take, the number of school pageants we enjoy, and the Little League games we can attend.

However, the President’s take was quite a bit different (emphasis mine):

“Well, think about what the governor — think about what the governor just said. He said when I took office, the price of gasoline was $1.80, $1.86. Why is that? Because the economy was on the verge of collapse, because we were about to go through the worst recession since the Great Depression, as a consequence of some of the same policies that Governor Romney’s now promoting. So, it’s conceivable that Governor Romney could bring down gas prices because with his policies, we might be back in that same mess.”

So, the president thinks that low gas prices indicate a collapsing economy? That makes no sense. Whether we like it or not, when the price of gas goes up, the cost of living goes up, and the quality of life goes down.

It appears that the president is confusing cost with value. Personally, I would like the investment in my home to double in four years. Shoot, I want every investment I have to double in four years, but gas is a cost of doing business or a cost of living, it is not an investment!

Human nature requires us to defend things we are proud of. So, is it fair to allege that the president is proud of high gas prices?

In 2008, Energy Secretary Steven Chu testified before Congress that one of the goals of Obama’s Energy Department was:

“Somehow we have to figure out how to boost the price of gasoline to the levels in Europe…”

In 2008, that would have been close to $8 a gallon.

In February of 2012, he testified that his overall goal was not to lower gas prices but “to decrease our dependency on oil.”

President Obama and Secretary Chu can’t make wind and solar energy fiscally attractive; the technology is not there. However, it does seem that they are intent on forcing those energy sources on us by making gas prices prohibitive.

Four more years of Obama will mean needlessly inflated gas prices and mandated green technology that isn’t fiscally viable. That is how you really collapse an economy.

That’s my nickle!

Gene Brown