May 06, 2008

Tulip Mania

Oil nears $123 on $200 oil prediction

My first thought is that somebody has trouble with simple math if this is even remotely close to being true. But then I started thinking... anybody want to take bets on when we'll be asked to respond to the crisis of falling oil prices and have to bail out all the speculators? I mean, the entire economic system might collapse if we don't rescue the financiers and commodity traders who were only trying to efficiently channel resources towards getting more oil, except when they weren't.

Of course, depending on the timing of the fall in crude and its proximity to the election, there'll be a significant clamor from some quarters to use taxation to keep the cost of gasoline where it is. For The Environment™, of course. And The Children™.

Posted by Charles Austin at May 6, 2008 04:25 PM