Gas Prices:
The country is still reeling over the sudden drastic increase of gasoline prices… and it’s not just gas prices that have been affected by the turmoil in the Arab world; home heating oil has gone up, public transportation, and airfare have all seen increases. If the prices stay high for too long, we could see drastic increases in the cost of consumer products and our food.
Why does the conflict in Libya create price increases on gas when we do not even get gas from Libya? Why would this conflict cause the prices of food to rise?
Everything is connected… the short answer about food and other goods is that because we import so much of our food, and because even the food that we do produce ourselves needs to be shipped, a rise in the cost of fuel, will cause the prices of the good to increase to compensate.
In terms of Libyan oil… true the United States does not get hardly any oil from Libya… but Europe does and so does China… if Libyan oil production is halted or interfered with, Europe and China will have to go to other markets such as Saudi Arabia and that creates competition with the United States…causing prices to rise. Worse of all… so far oil production has not been hurt at all! The increase in cost is out of the fear that it might be disrupted!!! Basically, people are freaking out and it causes an increase in price, before there is a decrease in supply!!!
The UN has put has declared a “no-fly zone” over Libya in order to stop its government from attacking the rebels in the country with air forces. After a few weeks of high gas prices and the likelihood of gas reaching $4 or $5 a gallon by the summer, have some of you changed your mind about UN or US intervention in Libya?
Should the international community do something or should we just the Libyan people fight for themselves and allow the fear of a disrupted oil supply continue to raise the prices of our most basic goods?
What do you think?
P.S. make sure you sign your names on your posts so I can give you credit!!!!
The Libyans are being killed over this, even some American troops are going over there to offer their help to the people. Eventually, if other countries don't get involved, this could end up getting even worse, and it will continue to affect everybody else until we can help to end this.
ReplyDelete~Victoria DuBois
Hess prices reached 3.51 for regular 3.59 for midgrade and 3.71 for premium, and it's still Winter!!! just wait until summer *shudder*
ReplyDelete-Devin Enos
Just saying, I think that you weren't neutral in this one. It's funny; normally you are. Either you really aren't neutral and you're letting it be shown or you're intentionally phrasing so that we say that yes, the U.S. should interfere with Libya. Maybe I'm just reading too much into it, but that's what it sounds like. Maybe I'm just giving you too much credit. But I stand by what I said before. The U.S. can't interfere. Short-term relief, long-term effects.
ReplyDelete