Favorite 2012 Republican Candidate

[TimeForGuinness]

Again, in states with very high gas taxes (Like IL), you could potentially get prices down about 50 cents per gallon, in exchange for a big loss of revenue at the national and state level. In most states, 20 cents per gallon. That isn't enough to make anyone happy.

Like I said, I'm not advocating this at all, just showing it's possible to bring down gas prices in a libertarian method.

...but only if you assume the companies will pass those savings onto the consumer. Whereas I assume the market can support $4/gal gas with/without taxes included, so why would the price to consumer change?

[AWvsCBsteeeerike3]

You all are chasing your tail here.

Yes, taxes have an effect on gas prices. Look at the difference b/w Illinois and Missouri (though admittedly there is more to the ~$0.40 difference than taxes).

But...it's a moot point as pebbles notes. People want gas prices halved, not reduced by 10%. In other words, taxes aren't the problem.

[cards2468]

Another libertarian solution to potentially reduce gas prices would be to allow companies to drill into any part of America they want and allow the construction of more refineries. Once again, I'm not advocating this what so ever. Just saying that there are ways to reduce prices without increasing federal subsidies and regulating costs.

[vinsanity]

Another libertarian solution to potentially reduce gas prices would be to allow companies to drill into any part of America they want and allow the construction of more refineries.

Drilling doesn't reduce gas prices or oil prices, for that matter. The price of oil has little to do with supply and demand and the price of gas is tied directly to the price of oil. All of this aside from the fact the reason gas isn't $7 or $8 or $9/gal like it is in Europe is federal oil subsidies which are socialism.

Back to the candidates. Rick Santorum would rather see Obama re-elected than Romney win.

"You win by giving people a choice. You win by giving people the opportunity to see a different vision for our country, not someone who's just going to be a little different than the person in there," Santorum told supporters in San Antonio. "If you're going to be a little different, we might as well stay with what we have instead of taking a risk with what may be the Etch A Sketch candidate of the future."

Was watching an old Colbert last night and one of the guys was mentioning that if Gingrich sticks it out to the end and they can get to a brokered convention, Santorum'll make a deal with Gingrich and take his delegates. California will end up a big deal being winner take all on the delegates, but I still think Romney gets 1144 needed.

[Leroy]

We're now citing an article written in the Bellingham Herald (whatever that is) by two global warming activists?

[Popeye_Card]

Another libertarian solution to potentially reduce gas prices would be to allow companies to drill into any part of America they want and allow the construction of more refineries. Once again, I'm not advocating this what so ever. Just saying that there are ways to reduce prices without increasing federal subsidies and regulating costs.

I don't think it is the government that is preventing companies from building refineries. I guess you could argue that EPA and OSHA requirements lead to refineries being unprofitable, but oil companies such as Sunoco are currently shuttering existing refineries. The margins on refining (typically $0 to $5 a barrel) just aren't profitable enough to justify the multi-billion dollar capital investment of building a refinery*. Not to mention the NIMBY's.

* Quick math. Assuming it would cost ~$10 billion to construct a new 250k BPD refinery, it would take 22 years at an average of $5/BBL crack spreads to re-coup the investment. That's not a very good ROI.

[TimeForGuinness]

Another libertarian solution to potentially reduce gas prices would be to allow companies to drill into any part of America they want and allow the construction of more refineries. Once again, I'm not advocating this what so ever. Just saying that there are ways to reduce prices without increasing federal subsidies and regulating costs.

How would that make gas cheaper on a global scale? Some other country could just reduce supply to keep the price elevated.

[cards2468]

Another libertarian solution to potentially reduce gas prices would be to allow companies to drill into any part of America they want and allow the construction of more refineries.

Drilling doesn't reduce gas prices or oil prices, for that matter. The price of oil has little to do with supply and demand and the price of gas is tied directly to the price of oil. All of this aside from the fact the reason gas isn't $7 or $8 or $9/gal like it is in Europe is federal oil subsidies which are socialism.

Back to the candidates. Rick Santorum would rather see Obama re-elected than Romney win.

"You win by giving people a choice. You win by giving people the opportunity to see a different vision for our country, not someone who's just going to be a little different than the person in there," Santorum told supporters in San Antonio. "If you're going to be a little different, we might as well stay with what we have instead of taking a risk with what may be the Etch A Sketch candidate of the future."

Was watching an old Colbert last night and one of the guys was mentioning that if Gingrich sticks it out to the end and they can get to a brokered convention, Santorum'll make a deal with Gingrich and take his delegates. California will end up a big deal being winner take all on the delegates, but I still think Romney gets 1144 needed.

Isn't the price of oil directly related to supply and demand? There's talk of Saudi Arabia tapping into more oil and that a drop in oil prices are expected with it. All I'm saying is drilling in the US would increase supply and the cost of shipping is cut. The biggest factor in slowing down gas production is the amount of refineries available. More refineries spread out around the US would also decrease shipping.

But, I really don't care too much about gas prices. It's pretty affordable compared to the rest of the world and like I said, with as much biking as I'm doing now, I haven't filled up my tank in 2 weeks and I still have a quarter tank left. If paying for gas is the toughest struggle in your life, then maybe you should do something about it to alleviate your dependence on it.

[cards2468]

Another libertarian solution to potentially reduce gas prices would be to allow companies to drill into any part of America they want and allow the construction of more refineries. Once again, I'm not advocating this what so ever. Just saying that there are ways to reduce prices without increasing federal subsidies and regulating costs.

I don't think it is the government that is preventing companies from building refineries. I guess you could argue that EPA and OSHA requirements lead to refineries being unprofitable, but oil companies such as Sunoco are currently shuttering existing refineries. The margins on refining (typically $0 to $5 a barrel) just aren't profitable enough to justify the multi-billion dollar capital investment of building a refinery*. Not to mention the NIMBY's.

* Quick math. Assuming it would cost ~$10 billion to construct a new 250k BPD refinery, it would take 22 years at an average of $5/BBL crack spreads to re-coup the investment. That's not a very good ROI.

No refineries have been built since 1976 for pretty good reasons that are all government related.

[TimeForGuinness]

Another libertarian solution to potentially reduce gas prices would be to allow companies to drill into any part of America they want and allow the construction of more refineries.

Drilling doesn't reduce gas prices or oil prices, for that matter. The price of oil has little to do with supply and demand and the price of gas is tied directly to the price of oil. All of this aside from the fact the reason gas isn't $7 or $8 or $9/gal like it is in Europe is federal oil subsidies which are socialism.

Back to the candidates. Rick Santorum would rather see Obama re-elected than Romney win.

"You win by giving people a choice. You win by giving people the opportunity to see a different vision for our country, not someone who's just going to be a little different than the person in there," Santorum told supporters in San Antonio. "If you're going to be a little different, we might as well stay with what we have instead of taking a risk with what may be the Etch A Sketch candidate of the future."

Was watching an old Colbert last night and one of the guys was mentioning that if Gingrich sticks it out to the end and they can get to a brokered convention, Santorum'll make a deal with Gingrich and take his delegates. California will end up a big deal being winner take all on the delegates, but I still think Romney gets 1144 needed.

Isn't the price of oil directly related to supply and demand?

And speculation...but with China, India, and Japan (since I think their nuclear plants are shutdown/shutting down and they need electricity) consuming a lot of oil, the oil prices don't necessarily revolve around the supply & demand of the US anymore. If the US drills more oil, they wouldn't sell it to themselves at a discount, they'd sell it out on the open market for the market rate.

If the supply increased dramatically, it could drive prices down...but then Saudi/Canada/Mexico could cut back their supply sending the prices back up.