Letters to the editor for April 11, 2012

Union classifieds

Oil and gas speculators

To the Editor:

Having risen to such high levels, the price of gas also raises many questions about the reasons for it. Much of the discussion over this issue results in superficial responses leading to unsupported conclusions and charges.

A rare exception to this is Robert Reich, former U.S. Secretary of Labor and Professor of Public Policy at U.C. Berkeley, who presents an essential insight into the problem. According to Reich "The current surge in gas prices has little or nothing to do with energy policy or global supply and demand. It has most to do with America's continuing failure to regulate Wall Street." In support of his claim he reports that "More than 80% of American's energy needs are now being satisfied by domestic supplies. In fact, we're starting to become an energy exporter." Reich focuses on Wall Street because so much money can be made if the bets of financial speculators pay off in higher prices.

He goes on to illustrate that this is indeed happening, pointing out that "speculators historically were the source for about 30 percent of oil contracts. Today they account for 64 percent. In other words, a relatively few players with deep pockets are placing huge bets on oil."

Obviously, it follows that we, the consumers, are paying for it. If Reich is as credible in this matter as he so regularly is in others, the next time you fill your tank you can blame Wall Street.

Raymond Liedlich

Soulsbyville

11871484
The Union Democrat
This image is copyrighted.

Reach all of Sonora, Calaveras County, Tuolumne, Angels Camp, Twain Harte, & Jamestown with your items to sell.

Ads appear Online and in Print

View Classifieds Place an Ad

Connect with The Union Democrat

Union Democrat Newsstand

Wednesday August 31, 2016

Read digital interactive editions of our publications

Read Today's Edition Take A Tour

More Publications by The Union Democrat

View All Publications
Letters to the Editor for Aug. 25, 2016

08/25/2016

Communications badly needed To the Editor: As I was reading the article ... more

Letters to the Editor for August 27, 2016

08/26/2016

Nothing but a horror show To the Editor: This past election year, ... more

Our economy should promote equality

08/25/2016

Instead of griping about the greedheads of Wall Street and the rip-off ... more

College campus lunacy about to take hold

08/25/2016

As the fall semester begins, parents, students, taxpayers and donors should be ... more

The war on poverty: A better way

08/25/2016

On Jan. 8, 1964, President Lyndon B. Johnson kicked off the War ... more