Is the Administration doing its best to leverage our oil resources?

Republican ranking member of the Senate Committee on Energy and Natural Resources, Lisa Murkowski (R-Alaska), sees President Barack Obama as just parroting Republican proposals for solving the nation’s energy price crisis. According to Senator Murkowski this is primarily a supply and demand issue and President Obama’s refusal to allow for an increase in drilling on federal land and drilling in the non-wilderness areas of the Arctic Natural Wildlife Refuge has led to the high energy prices we are seeing now.

I say energy prices crisis because no one is arguing that we are running out of sources of energy such as natural gas, coal, nuclear, geothermal, or oil. Global demand has reportedly increased for oil, which is plausible given growth in consumption in emerging markets such as China and India.

The emerging market argument may not be of comfort to Americans this upcoming driving season. According to the Energy Information Administration, between January 26, 2009 and February 27, 2012, gas prices at the pump have increased 98.74% from $1.832 a gallon to $3.641 a gallon. The Bush Administration suffered a stroke of Irish luck during its second tour of duty with gas prices falling from $1.839 per gallon on July 14, 2008 to $1.832 on January 26, 2009.

Given the Bush Administration was hot and heavy into two wars, what did they do or not do to keep prices relatively flat? Did the Obama Administration do something wrong? If so, what?

About Alton Drew

Alton Drew brings a straight forward and insightful brand of political market intelligence. Alton Drew graduated from the Florida State University with a Bachelor of Science in economics and political science (1984); a Master of Public Administration (1993); and a Juris Doctor (1999). You can also follow Alton Drew on Twitter @altondrew.
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One Response to Is the Administration doing its best to leverage our oil resources?

  1. Kenneth Ciszewski says:

    The Bush administration could have cared less about the price of gasoline. They were busy fighting two wars, doing warrantless wiretaps, establishing “no free speech zones” when President Bush came to town to give speeches, and giving the rich big tax breaks.

    The problem is how oil is bought by middlemen, which are speculators. They have no interest in keeping the price down, they make their money in any case, whatever the price. They only care about buying so they can resell and make money. The oil companies don’t care either, for the same reasons.

    I’m not sure how either the Bush or the Obama Administration could deal with the middlemen/speculators.

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