The price of heating and eating to keep rising!

Posted: 26/12/2007 in Uncategorized
Tags: , ,
The oil price keeps on climbing, and the usual liberal crybabies keep putting the blame on Bush and his ‘buddies.’ Unfortunately, for everybody who needs oil, they are wrong. Because they are wrong, and they keep misdirecting efforts from lowering costs, they end up increasing the Socialist aspects of the Government. They do this by requiring more welfare run by the State, and ever increasing regulation to control the population.

But the reality is that George Bush has little to do with the actual price you pay for oil. As you can see from the article below, the actual percentage of the wholesale cost of oil to a gallon of gas is increasing. In 2005 the average cost of crude was 59% of a gallon of gas. The cost is expected to average 65% in 2008. What this means is that the wholesalers are absorbing more of the cost of that gasoline. The rest of the difference goes to the refineries and distributors, and in most States, taxes make up most of that difference, leaving the retailers with a very slim margin of profit.

And while the Bush haters are busy directing your attention to what they feel is a terrible president, your attention is drawn away from what’s really going on around you. As the end cost of oil goes up, things that depend on that product go up in relation. Farmers need gas and diesel to run their equipment. That means they have to get more for their products to make a profit. Retailers need to get product delivered to their stores. It costs the trucking companies more for fuel, so they have to raise their rates. The retailer in turn needs to raise the price of his goods to cover the increased costs of delivery. Manufacturers rely on oil to run their factories. Increased oil costs mean increased manufacturing costs. The list goes on and on, but you can see where I’m coming from here. At least I hope you do.

Many factors go into the cost of living, and most of them are well beyond our immediate reach. The cost of food will be taking a hefty jump over the first fiscal quarter of next year, and there is nothing we can do about it. Wheat is used for the bulk of the things we eat in this country. But unfortunately, Socialist style programs have encouraged the reduction of wheat crops in this country. Because of this we must rely on other countries to supply us with our food. The drought conditions in Australia has led to higher wheat costs worldwide. If we did not need their wheat, then the higher cost would not have affected our own costs as much as it is.

The environmentalists desire to force ‘bio’ fuels upon us is causing a new demand for food oil crops like soybeans and corn. The farming industry can only produce so many acres of crops. Since much of the crops are now going into non food use, the supply of food crops is dwindling, lowering supply in the face of increasing demand. Thus helping to spur higher food costs.

The bottom line is that more mid to lower income people will be having an increasingly difficult time over the next few years making ends meet. Instead of allowing our elected officials to sit around the house and pass more and more laws controlling our lives, we should be taking a more active interest in the affairs of the State. We should be urging the elimination of many of the needless and cost increasing laws on the books. We should be urging that the Nation return to its self sufficient status we once held, instead of allowing other countries around the world to hold us hostage while bleeding us of what we have.

My uneducated guess is that the 1920’s are once again upon us. I believe, depending upon the outcome of next year’s election, that the world may well see another depression as we had during the period of 1929 to 1940. Whether a conservative or liberal gets elected will dictate the eventual outcome. Wilson began our descent into Socialism and Roosevelt nailed the lid shut on it by exacerbating the depression with an ever increasing volume of government control and welfare under the thin disguise of saving the country.

Many of the programs instituted then have finally come to rear their ugly heads of failure. We as a nation have become entirely too dependent upon others for our well being, and the true cost of this position is finally beginning to be seen. But on the upside, maybe these increasing food prices will help to curb this so called obesity epidemic we’ve created for ourselves.

That’s my Maine view for today.

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