Saturday, August 07, 2004

Black Gold, Texas Tea 

Avedon Carol found a post by Bill Scher of Liberal Oasis entitled "Will the Oil Men Be Done In by Oil?"
Oil prices jumped to more than $44 a barrel yesterday, with some analysts saying $50 is possible.

On ABC's World News Tonight, in its top story, one energy analyst said: We are one disruption away from shortages…That's what this market is telling us. This is why we are at an all-time high right now.

One does not wish for shortages, as it is the poor and middle-classes that would bear the brunt.

At the same time, it would be deliciously ironic for the oil-soaked Bush Administration to be turned out in part because they were incompetent at managing oil politics.

Let's look at many of the factors contributing to the price spike.
  • Russia Prez Putin's political power-play against oil company Yukos, freezing its bank accounts over a tax dispute, which may lead to a shutdown.

    Bush's Blunder: praising Putin's vision while he turns Russia into a quasi-dictatorship, thereby allowing Putin to go after Yukos, which is headed by a political opponent.

  • Pipeline sabotage in Iraq.

    Bush's Blunder: War and occupation under false pretenses.

  • General fear of terrorism.

    Bush's Blunder: Orange Alert under shaky pretenses.

  • Expected strikes and disruptions in Venezuela following the Aug. 15 referendum on Hugo Chavez's rule.

    Bush's Blunder: Backing coups and encouraging unrest instead of facilitating democracy.
Kerry, meanwhile, crosses the country preaching the gospel of energy independence -- a notion utterly foreign to the former head of Arbusto, who has always depended on the kindness of Saudis throughout his long, sad history of drilling dry holes.

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