He's basically right on this one IMO, just wish he'd decide on one set of figures......................

Besides which, any savings would be quickly offset by higher gas prices, of course.

What Uncle Sam Gives in Rebates, OPEC Takes, Stalling Economy

May 5 (Bloomberg) -- Wal-Mart and OPEC are battling for the tax rebates the U.S. government began handing out last week. The result may be a draw for the economy.

While consumers might spend enough of the $117 billion stimulus at retailers to keep the U.S. economy afloat in the months ahead, the boost from their purchases will be diluted by gasoline prices at $3.62 a gallon and rising.

The upshot: The U.S. might avoid an outright contraction in the second quarter and still be saddled with sluggish growth typical of Europe, which expanded at a 0.9 percent annual pace in the six quarters following a 2001 recession.

``It feels like the U.S. is taking a European holiday,'' says Bruce Kasman, chief economist at JPMorgan Chase & Co. in New York. ``We're in for a long period of growth hugging 1 percent.''

Since President George W. Bush signed the stimulus package in February to much fanfare, the price of a gallon of gasoline has risen 64 cents, according to AAA, the nation's largest automobile club. That's boosting the coffers of the Organization of Petroleum Exporting Countries while robbing consumers of nearly $23 billion in spending power on a quarterly basis.

http://www.bloomberg.com/ap...

Hillary was interviewed on the Today Show this morning. When it was pointed out to her that a poll showed 70% think her proposal was a political gimmick ("politically expedient") she answered that people "are not informed" that she has a plan to make up the lost revenue: make the oil companies pay for it.

Obama said taxing the oil companies would only raise prices at the pump. He said the idea was tried in Illinois and then discontinued. He also pointed out that not one economist or expert has endorsed Hillary's tax moratorium plan.

Sounds "elitist" to me...

Oil Rises Above $120 to Record on Concern Over Nigeria Attacks

May 5 (Bloomberg) -- Crude oil rose above $120 a barrel to a record in New York on concern that production disruptions in Nigeria, Africa's biggest producer, will limit supplies.

Crude oil for June delivery rose $3.60, or 3.1 percent, to $119.92 a barrel at 11:18 a.m. on the New York Mercantile Exchange. Futures touched a record $120.21 a barrel in intraday trading. The price has gained 94 percent in the past year.

Oil also climbed as the dollar weakened against the euro and a report showed that U.S. service industries unexpectedly expanded in April, signaling stronger economic growth.

Oil is priced in U.S. dollars. The dollar traded at $1.5496 per euro at 11:19 a.m. in New York, from $1.5424 on May 2. The dollar has lost 14 percent against the euro over the past year.

Foreign nations ``aren't feeling the effect as much of these high prices,'' said James Cordier, president of Liberty Trading Group in Tampa.

http://www.bloomberg.com/ap... 

"The sky is falling" is supposedly a lousy excuse for global warming theory, but it sure is a great excuse to jack up oil prices.

(E-Mail via DailyKos)

CONFIDENTIAL/URGENT POLITICAL PROPOSAL

Dear Sir

First we must solicit your confidence in this issue. This is by virtue as being utterly confidential and "top secret".

We are SENATOR HILLARY CLINTON, the wife of the former United States head of state, PRESIDENT BILL CLINTON, and also SENATOR JOHN MCCAIN, friend and associate of current head of state PRESIDENT GEORGE W BUSH. We got your contact through business inquiries as we were searching for contacts of a citizen who can help save our and our family's political careers since our country has been frustrating us.

We are top officials of the United States Senate Government who are interested in importation of oil into our country with funds that are presently trapped in the FEDERAL TRANSPORTATION TRUST FUND dedicated to improving transportation. We wish to send this money to overseas accounts in the MIDDLE EAST but cannot due to restrictions in Congress Transportation Equity Act requiring that this money must be spent to build roads, bridges and high speed trains.

If you accept we will deliver to your a sum of 30 DOLLARS in the summer 2008 in form of a "GAS TAX HOLIDAY". You will then deliver this money to accounts of our friends in Middle East by taking it to your nearby gasoline station where they have information to forward the money. Please supply your bank account, social security number, address and your vote in DEMOCRATIC PRIMARIES AND NOVEMBER GENERAL ELECTION.

But bear in mind that this transaction requires absolute confidentiality. Do not visit WWW.GASTAXSCAM.COM where there is information about dangers of our proposal and a petition to stop us from this diversion of funds.

PLEASE NOTIFY US URGENTLY OF YOUR ACCEPTANCE OF THIS PROPOSAL

Awaiting your rapid response

• Yours truly

  SENATORS HILLARY CLINTON AND JOHN MCCAIN

*giggles* good one RF

Lopping 18 cents off the price of a gallon of gas for the summer sounds good to me.  The only time I'm against cheaper gas is when it goes with cheaper oil that causes layoffs in the patch.  People should be careful in their support for keeping the gas tax as is.  The Democrat controlled Congress will start thinking that if 18 cents is no big woop to everyone, then why not raise it to 25 or 50 cents.

Why not lower the cigarette tax, too?  THAT will never happen!

driln, the problem is that it doesn't lower the cost of gas.  it just changes how much goes to government and how much goes to the oil companies.

The 18 cent tax relief is a band-aid solution for a sucking chest wound problem. That proposition is only to appease people for cheap votes.

And therefore likely to work.

" band-aid solution for a sucking chest wound problem"

Fatal sucking chest wound....DOA   economy... you hit the nail on the head...Don`t let them smooze ya all, Nobody will pay but you, think!!

Oil Rises Above $122 to Record on Nigeria Attack, Demand Growth

May 6 (Bloomberg) -- Crude oil rose above $122 a barrel in New York for the first time on threats to supply in Nigeria and Iraq and growing Asian fuel consumption.

Royal Dutch Shell Plc said a militant attack over the weekend damaged a flow-station in Nigeria, where violence has cut exports from Africa's biggest oil producer. Economic growth in China, the world's second-biggest fuel consumer, will be 10.8 percent this quarter, State Information Center economists wrote in the official China Securities Journal today.

Supply shortfalls will probably send oil to between $150 and $200 a barrel within two years, Goldman Sachs Group Inc. analysts led by Arjun N. Murti said in a report.

``We will have to see stories of the economy in China, Asia, slowing to send prices lower,'' Sieminski said. ``We haven't seen them yet, but at some point in the future we may. Then oil demand growth will slow down.''

http://www.bloomberg.com/ap...

Note how much is allocated to gasoline. Were we to go to more distillate usage (even ULSD), we could better maximize the BTU value of each bbl.............. 

"Super-spike" could lift oil to $200: Goldman

LONDON (Reuters) - Oil could shoot up to $200 within the next two years as part of a "super-spike" driven by poor growth in oil supplies, investment bank Goldman Sachs (GS.N: Quote, Profile, Research) said in a research note.

"We believe the current energy crisis may be coming to a head, as a lack of adequate supply growth is becoming apparent," Goldman said in the note made available to Reuters on Tuesday.

Oil hit a new record near $121 a barrel on Tuesday, continuing an advance which has seen it double over the past 12 months.

Oil hit a new record near $121 a barrel on Tuesday, continuing an advance which has seen it double over the past 12 months.

"The possibility of $150-$200 per barrel seems increasingly likely over the next 6-24 months, though predicting the ultimate peak in oil prices as well as the remaining duration of the upcycle remains a major uncertainty," Goldman said.

Goldman, which was one of the first to point to a triple digit oil price more than two years ago, said it believed the market was approaching the crunch in the "super-spike".

http://www.reuters.com/arti...

It is instructive to see how the enviro-whacko's react to our drilling offshore vs. China, Cuba, etc.

The environmentalists seem to have no problemo with the bad guys drilling off our shores -- because they know they would just tell them where to stick it if they protested. So they don't protest.......

They protest us drilling though  -- so we don't drill. Makes sense doesn't it?

This is why I say we should just take the oil from Iraq. We get accused of a "war for oil" by the pinheads anyway..............

I thought the Democrats had a common sense plan to lower prices when they  were campaigning in 2006?  At least that is what old turkey neck kept saying on my televisio...

The Dems have done wonders for the economy since they took over the House and Senate.

But never fear, the CHAMELEON  (BO) will save us!

Ah, but the weren't able to take back the Senate (due to its structure) or the White House, where the final economic decisions are made.

.

Next year, though...

Yeah RF..............

That'll solve it!

We'll see, Chico.  Zeus knows Shrub and McShrub ain't gonna be any help.

Zaius too..................

There ain't no Zaius.

.

Yet.

 Chico says facetiously: "The Dems have done wonders for the economy since they took over the House and Senate."

The new Democratic majority congress has been stalled by lack of supporting Republican votes needed to pass legislation and by Bush's vetoes of bipartisan legislation.

Even when congress passes a good bipartisan bill, Bush vetoes and there's not enough overall support to override the veto. 

When people finally get it, perhaps they will oust a few more Repubs and vote in few more Dems in the house and senate. A new Democratic president will also help.

Perhaps we then can finally get something constructive done like reining in the thieves, manipulators and scammers in the financial, healthcare and energy industries which have brought the country to the brink of financial collapse.

Right on light Saber  ;=)

Just keep telling yourself that

along about mid 2010 with POTUS Obama and majority Dem House and Senate and no one else to blame and no free bubble up and rainbow stew..........

I'll check back in with you then...................

(we'll all be reading RF's Marvelous Comix singing Kumbuyus......)

Asking for viable solutions to our nations problems from HillBillery  or Oscama is like  asking Random to think Conservative....Not a chance in hell.