Way back in the late 70s, gas prices were going up

Gas prices have gone up forever, if they didn't I'd still pump 49cent gallon gas.

But here in CA it's the highest in the country....taxes up the ying yang.

My state is so deep

 

yep, that did not help for sure

 

Have you educated yourself instead of flat out dismissing it? You seem to be stuck in a mindset that does not accept information other than your pre-conceived opinion.

The reason why increase of the money supply causes inflation is that more money chases the same amount of goods -> prices go up.

Now, the effect of fractional reserve banking is exactly the same: Loans create more money in people's hands, at least temporarily, chasing the same amount of goods. So, why wouldn't prices go up in this scenario? You gotta think outside of the box.

 

You can rest assured that Vlad and Biden also gamed this out. We are in for a rough patch since the supply chain issues was sent to the moon with the invasion of Ukraine.

 

No President turns the economy around day one. Even less Trump, who was all parties all day, and very little "Presidenting". But none change it on day one. Not even in year one. Often not even much in four years. The effects of any policy a President can take only start showing after several years. So what you saw through the Trump presidency, all the way up to his mishandling of Covid, were the effect of Obama's policies. There is nothing you can point at that Trump actually DID that would incentivate the economy in any meaningful sustained way.

In this case, the main reason gas prices are this high is due to many factors. The invasion of Ukraine is one of them. But another big reason is still Covid. After the price of gas went down to close to $0 (less than $0, at some point) in 2020, most oil producing countries preferred to shut down much of their production rather than give away their oil for free. Restarting that production is not quick. And it's not as profitable for them as keeping it the way it is.

Nonsense. The ONLY reason the oil industry refuses to produce more is because they are making tons of money as it is right now. They won't be put out of business by the government. They'll eventually be put out of business by electrical car manufacturers. i.e. OTHER private businesses.

To solve this, the government needs to intervene to avert a national crisis. Business profits should NOT come before the well-being of the country. And even though getting OPEC countries to increase production MIGHT alleviate the problem, the fact is that, if it doesn't, Biden will HAVE to make very uncomfortable decisions to deal with OUR Oil producers.

 

Incorrect. Inflation of the money supply causes a devaluation of the currency. It looks like higher prices because the money is worth less so more money is required to buy the same thing than before the inflation.

Loans have nothing to do with inflation because they don't increase the money supply. They do raise demand. We all know that. Supply and demand are not inflation. Some of us know that. And, yes, I have educated myself quite well. You have simply parroted what you read somewhere without thinking it through. They aren't even your preconceived notions.

 

When our oil producers produce more, prices go down.
When our producers produce less, prices go up.

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Our suppliers really make a difference.

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By 2008 our production had dropped 30% and our prices had increased by 350%.

And those are prices on the global market. Do not for a minute think that when American Crude producers do not show up that it does not have a global impact.

It has a bad global impact when they down,
It has beneficial global impact when our oil workers are going full blast.

It will take new representatives, but, our best days are ahead of us once we clean these vile demented crooks out of DC.

And we can make major strides toward restoration in just 21 weeks.

 

B$ graph. Trump took office in 2017, when prices where already low. But, it is no surprise that you are dishonest to make a petty partisan point.

 

By this point in Trump's presidency, gasoline prices had risen 23.5% compared to the price when he was sworn in.

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Biden over the same duration, has raised prices 112.3%

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My point is wondrously grounded in empirical fact, so secure grounded in reality that my friends say that it's quite marvelous. I wouldn't go that far. I think it's a decent point, but then I can tend to be more humble than is warranted.

You seem a bit butthurt. Is the looming electoral disaster getting you down? Turn that frown upside down! The results will be marvelous for the producers in the Great Country.

 

No, roughly 90% of economists aren't kooks.

 

I didn't say they were kooks. I said they are wrong.

 

Part of that 10% agrees with you, a small part.

That's a recipe for an instant Great Depression.

 

and utterly meaningless..

 

To read your post, one could get the mistaken impression that only oil has gone up in price, yet we all know that is not the case.

I am left with the question, what would have to occur for you to acknowledge that we are seeing very legitimate inflation?

 

Thanks, Captain economist.

 

That's a true statement about the Dems response to these horrible price hikes, that didn't have to happen.

When one claims to representing another, and that other will determine whether or not they will continue to represent them in upcoming elections, if one wishes to get their services renewed, one should figure out what they want done, and do it.

To many Dems have no desire to do that. They see themselves as authoritarian rulers who are to be obeyed by the obedient masses. And when the Citizens quite properly tell these clowns to go to hell, the authoritarian arrogating clowns get quite peeved.

Welcome to Secular Relativist Hell. “The consequences of fragile progressive idiots believing that the world should bend itself to fit subjective kumbaya criteria are far-ranging and absolutely poisonous.”

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#SHUTUPANDFIXINFLATION

 

#stillutterlymeaningless..

 

As I so often have to point out, it's not my opinion, it's what the people that know what they are doing say...

Nixon didn't want to takes us off gold, he had to. The economy is much, much, much larger now. There just isn't enough to back dollars in a meaningful way.

I used to talk with an oddball who kept saying we could back dollars to some degree. The problem is, it's meaningless without a reserve large enough to make the idea plausible. If you're doing 5 cents on the dollar, it's just silly..

Only small countries can do that now.

 

The solution is increasing the supply of goods, but since Biden and too many of the Dems want to mandate austerity and graditiously inflict pain on the "serfs" they have no interest in actually solving the problem and increasing prosperity for the working and middle class like Trump did.

Gas Prices dropped for a dozen years. Biden and the Dems destroyed all the improvement and more in less than 18 months.

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The elected Dems are done. They know it, we know it. They have no interest in fixing anything, only in sabotage. In 21 weeks the voters will end the Dems farce and we will begin the Great Restoration of stability, normalancy and plenty.

POLITICO: Latino Dems furious at DCCC, party leadership over Texas loss. (Link safe; goes to someone with sense and brains):

Some "Democrats are also talking about “drag queens in every school,” too. Now that’s an issue that preoccupies voters in the Rio Grand Valley and in American households everywhere."

"We tire of these strange idiots."

"Democrats are turning themselves into the Weird Party, and even in good times that would be a strange choice. But with Joe Biden busily creating crises that he can’t handle and Democrats doing nothing but carrying his water, voters have some damned good reasons to toss Weird Party incumbents out on their ear, or another figurative body part. Republicans are far from perfect, but at least Republicans are talking about issues that matter outside the solons of Academia and progressive drum circles."

"And speaking of “the Weird Party:”

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That's simply not true. Smaller cars exploded in popularity from the late 70s through the mid 80s. In particular, Japanese cars took off like a rocket.

 

A lot of odd thinking in this thread.

Once inflation happens you're stuck with it. It will never go away. Never. What you can do is try to decrease the rate of increase in inflation and the only real way to do that is to decrease the money supply at least temporarily. It always result in a decrease in the the infation rate but that is all government can.

2. The very definition of inflation is too much money chasing to few goods and services. The response to covid on all fronts beginning under Trump was gursteed to deflate stocks of goods on hand and the American tax codes tendency to tax finished goods as though those goods had been sold, and the introduction of just in time stocking to limit that tax liability for non perishable goods, stocks for nonperishable goods were already low. Shutting down production to slow the spread of a disease that barely effected anyone under sixty, was the abslute worst idea ever, combine with Icessant fear mongering mesnt that even when it was safe to go back to work many people refused to do so, and the government under Biden almost immediately moved to make that choice e economically feasible and so an economy weak on the supply side was flat lined and more dependent on imports than ever before. China then shut down its major port again. Making overseas supplies more tenuous.

Then there is the elephant in the room gas prices. While we have more oil now than in Trump's last year, this is like bragging that you're the sanest inmate in the asylum. Note oil refineries aren't like other companies you can't just turn on the power and go there is a lot of other things that have to be done first before you can get up and running.

So why the rapid run up in inflation the Biden double dip. Sanctioning Russian

 

It is true that the national m.p.g. is only 25. The Horizon I bought in 1980 gave 40. Most of the cars you mentioned gave much better than 25. Obviously, a huge number of grossly over-consuming vehicles have overcome the realistic levels of the alternatives. Thus, it is true that the price of fuels is largely the result of this gluttony.

 

Thanks again, captain economist.

 

Your inability to respond substantively is all the thanks I need.