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F. George McDuffee F. George McDuffee is offline
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Default $4 dollar gas and its effects on metalworking

On Sun, 13 Apr 2008 02:53:12 -0700 (PDT),
wrote:

On Apr 13, 6:21 pm, "Jeff R." wrote:
"John R. Carroll" wrote in .com...



wrote:
On Apr 9, 5:27 am, Too_Many_Tools wrote:
Well it looks like we will definitely see $4 dollar gas this summer.


http://news.yahoo.com/s/ap/20080408/...and;_ylt=Alg4Q...

Any thoughts as to how this will affect us HSMers in the shop?


I already find myself limiting the distance I will drive to view,
purchase and pickup machines and supplies for my shop.


TMT


Wow, $4 a gallon! - thats a really good price, where can I get some? -
here in OZ its $5.30 a gallon,


And your dollar is actually worth something.


...and our gallon is bigger.

--
Jeff R.
(but we don't like to brag)


Dunno - I know the American Gallon is "different" - I used 3.78 litres
as an equivalent. Our dollar is worth 90c American - its not getting
worth more, yours is going down against the rest of the world. This is
good for me, I can afford to buy Chinese tools cheaper from the states
than I can here...(go figure THAT one!) - now, if your postage prices
were not so outrageous....(bloody liberals again...)

Andrew VK3BFA.

========
Problem is that you are comparing pump price to pump price. I
don't know the situation "down under," but the actual price of
gasoline and diesel is now around 10$US per gallon when the oil
company tax credits, tax exemptions, tax increment financing
districts, free oil from under federal land, stolen oil [pumped
but not paid for] from Indian reservations, etc.. One
particularly glaring example of this was when Saudi Arabia
decided to impose higher royalties on exported oil. The oil
companies got the Saudis to call it a tax, which by US/SAUDI
treaty could be deducted from the oil company US taxes.

It goes even higher when the lost tax revenues from transfer
pricing are included, which must be made up by either borrowing
or increased individual taxes.

The price climbs even more when the war costs are included, not
only for combat but the damage done to the trust and cooperation
of the people of the mid-east for the United States.

If we expect the "free market" to work, accurate and timely
information must be available to the consumers. Charging the
actual 10 or 12 $US per gallon at the pump while eliminating the
oil company tax dodges and "cost externalization", would indeed
cause massive economic dislocation in the short run, but would
result in rational lifestyle decisions about alternative energy,
high mileage vehicles [i.e. no more Hummers], no more urban
sprawl w/2 to 3 hour commutes, far few giant box stores, etc.

This has no chance of occurring until total "melt down" occurs.
The Romans got "bread and circuses," the US gets gasoline and
professional sports.


Unka' George [George McDuffee]
-------------------------------------------
He that will not apply new remedies,
must expect new evils:
for Time is the greatest innovator: and
if Time, of course, alter things to the worse,
and wisdom and counsel shall not alter them to the better,
what shall be the end?

Francis Bacon (1561-1626), English philosopher, essayist, statesman.
Essays, "Of Innovations" (1597-1625).