dear america, your candidates suck (tuesdays with big brother)

Dear America,
I don't claim to be an expert in economics, but I'm certainly impressed by the generic understanding of supply and demand that you have exhibited as you've watched the gas prices rise over the last couple years.  According to the Federal Highway Administration, you are driving less these days - presumably because you're fed up with paying high prices for gas.  Given this reality, it's likely that this has led to more stability when it comes to the price of crude oil on the market.  This, I assume, has contributed to the gradually dropping prices that we are paying at the pump.

The joy of a (relatively) free economy, like the one you are currently a part of, is that the consumer always has the final say in whether the economy fails or succeeds.  If you don't like the price of something, you simply stop purchasing it or, in this case, limit your purchasing.  This will force the producers to limit the prices that they apply to their products and, ultimately, both parties will benefit from a competitive market in which reasonable prices for quality products becomes the standard.

However, this slight deviation from your normal ignorance of the inner workings of our economy appears to have faltered in the realm of politics.

Currently, John McCain is desperately pushing his plan to expand drilling for oil off of the American coastlines.  Inherently, there's absolutely nothing wrong with a potential future where we produce more of our gasoline locally.  That, though, won't do much to alter gas prices - especially in the near future.  According to just about everyone who seems to understand the gasoline-production process, any expansion in our local drilling would take several years to impact us directly, if at all.  McCain's attempt to impress you with his deep understanding of your day-to-day struggle to fill up your gas tank at a reasonable price is certainly an attempt to pander to you for your vote.  Please don't encourage this sort of thing, as you appear to know better than that - remember, supply and demand is the name of the game.

McCain, though, isn't the only politician trying to pull the wool over your eyes.  His opponent, Barack Obama, is now pushing his plan to institute something called a 'windfall profits' tax on the oil companies.  Now, being the good economists that you've demonstrated yourselves to be, you obviously know the difference between regular 'profits' and something called a 'profit margin.'  You are also aware, of course, of the fact that the profit margins for our major oil companies remains at a steady 8% - 10% rate.

This means that our oil companies, who are the only producers available to us for gasoline, would be staring down the barrel of a serious cut into that significantly light profit margin rate in order to pay for Obama's attempt to pander to you.

Now, I'm not trying to tell you who you should vote for because, frankly, I'm not impressed with either plan.  But I did want to address the fact that you are apparently aware (or should be) that the best way to deal with high gas prices is through limiting your use of it.  Congratulations.  Perhaps soon you'll come around to the fact that income taxes are the ultimate in modern techniques of federal enslavement.

Best of luck in November,
W.