Mr. Bill O'Grady of A.G. Edwards in St. Louis said that Saudi Arabia countered U.S. claims that high oil prices will stunt the growth of G.D.P. by calling for consuming countries to reduce petroleum taxes. "If OPEC is for real, oil should be $38 a barrel, not $28" said Adam Sieminski, an oil analyst with B.T. Alex Brown in Baltimore. Bill O'Grady said " In 1990 dollars the price of a barrel of earl is $21.The oil rally has been stealthy. There's been little translation of higher oil prices into higher consumer prices. OPEC knows this".===the foregoing are excerpts from the W.S.J.====Think about it --for about 60 years the U.S got "free" oil from the Arabs--then in the 70s it went up ....but for the last 18 years or so oil has again been cheap on an inflation adjusted basis--we exchanged our "toilet paper" for their only asset and to add insult to injury the consuming governments reaped huge windfalls by adding exhorbitant taxes on petroleum products--well, OPEC is on to the game now. AS I've said before, OPEC is beginning to catch on to our game of limitless credit creation...so I think they correctly feel that as long as "everybody's getting rich" that they should too--for them 1970s nostalgic memories are palpable--and one always wants to re-experience pleasant events and episodes in ones' life. So we should stop whining and take the very simple remedy to higher crude prices--lower the taxes.

-- Andy (2000EOD@prodigy.net), January 17, 2000

Answers

In addition, the US has broken every promise it made to the peoples of the middle east regarding national soverignty and individual rights. It begins in 1920 ans is a very very lengthy list. The Arabs have long long memories.

-- Ishkabibble (ishman@home.com), January 17, 2000.

The above from a buddy over at GE.

-- Andy (2000EOD@prodigy.net), January 17, 2000.

Part of the 70's increase was OPEC's reaction to Nixon moving to a total complete unobliterated fiat system. Our paper money without gold to back it up is snot-rags to them.

It's all about the gold, baby.

-- Hokie (Hokie_@hotmail.com), January 17, 2000.

Which GE is that, Andy?

If there's room to lower taxes on crude, it must be the Britsh company, not the US General Electric. The US taxes have purposefully been kept low in order to stimulate the economy, so we don't have room to do that.

I think the US should have raised petroleum taxes years ago, and seriously spend the extra revenue as offsets against alternate energy installlations. Actually, if most people were honest we could see the problem we were getting into with respect to petroleum. Had we acted on that honesty, we could be sitting free and clear right now.

Just taking gas, if we each drive 12,000 miles a year, and get 30 mpg, if we were to set aside $1 per gallon (modest added tax), we each would put $400 a year in our piggy banks.

Over the period of 25 years (from 1974 to 1999) that would have amounted to $10,000. That would buy a lot of offset against wind generators and solar panels.

If the set aside were $2, that would have brought gas into line with European prices, we would have managed it somehow, and we would have saved enough to put together a top notch alternate energy system.

Yes, I recognized our vulnerabilities.....and like everyone else, did nothing. It took Y2K to get me off my ass and looking into something else. And believe me, I don't have a $20,000-30,000 solar/wind AE system. I could have, had I put the money in the piggy bank. Ain't 20/20 hindsight great? Shoulda, woulda, coulda.

-- (rocky@no.spam), January 17, 2000.

Rocky, what kind of taxws do you think we pay on a US Gal of gas?

In Ohio, specifically Cuyahoga County we pay 35 cents a gal. (I know this because this is the difference in prices quoted me by 2 folks where I bought the gas for my tank farm. the delivered price included the d**N taxes)

Chuck

-- Chuck, a night driver (rienzoo@en.com), January 17, 2000.

I know that Chuck.

My comment, again.......I have been aware of oil's potential for destruction of our lifestyle. Had I (and you) socked away $1 for every gallon of gas we used we could have great alternate energy systems in place.

That $1 would effectively raise our gas prices by $1. This is still much less than paid in Europe. We could have found a way to do this.

-- rocky (rknolls@no.spam), January 17, 2000.

Hey Chuck,

Where in Cleveland are you? I grew up in Seven Hills Village (when it WAS the country), lived in Parma, Maple Heights and Rocky River on the lake and then down by Cleveland Yatch Club on the river before we moved on to NJ, DE and CA.

Todd

Todd

-- Todd Detzel (detzel@jps.net), January 17, 2000.

Are there alot of Clevelanders on "The Bomb" or what? I know that Daisy Jane is from the area and myself (Munson Township)?

-- lurking, as usual (lindagrog@aol.com), January 18, 2000.