Thursday, June 16, 2011
The Price of Gas is Holding Back Our Domestic Economy
Our country runs on petroleum. Whether it is gasoline, diesel or jet fuel, it is all petroleum base. The high cost of all these fuels mean that consumers must pay a higher price for the fuel they buy, but also a higher price (or get less product for the same money) for the products they buy that are either manufactured with petroleum or have petroleum in their content. Oil is removing billions of dollars of discretionary income from the domestic economy. The affect is the same as a tax on consumers very much like a consumption tax. Until the United States controls its supply of oil, or is able to change the mix from petroleum, as the key ingredient for our economic survival, we are going to continue to export dollars to oil producing nations and not control where our dollars are spent. At this point, we do not control our own economy. The price of a barrel of oil is influencing our domestic economy and making discretionary spending for far too many people unaffordable.