I saw in the Press the other day a letter-to-the-editor screed by River Rat lawyer Gary Schenk. His ruminations frequently appear on the editorial page where he uses his post as a Grand Rapids Community College trustee as a soapbox. Shyster Schenk's most recent rant had to do with his completely-discredited fever-swamp bloviations of collusive price-fixing on gasoline by oil companies. (I suppose someone has to represent the Michael Moore contingent of political paranoia in River City.) His "evidence" is the failure of gas prices to fall in anticipation of a drop in crude oil prices.
Well, as far as the economics of gas and oil prices, Schenk has his head up his, well you know where. But the man likes dark places, so I suppose we shouldn't be surprised. Actually Schenk's proof of collusion by oil companies is no proof at all. Anyone who has charted gas and oil prices knows that gasoline prices don't rise and fall ahead of moves in the crude price -- they trail it. It's pure supply and demand in a very competitive market. Moreover, it's not the only thing pushing the price of gas.
The other major factor in gasoline prices in the U.S. is refining capacity. (Well, actually excise taxes are big component too -- let's leave that for another day.) Because that capacity is tight, especially in a country that hasn't built a new refinery in a quarter-century, while oil companies build up stocks of gasoline (in all the myriad of formulas dictated by the federal government) in anticipation of the summer travel season, that also pushes up the price this time year. It also falls like clockwork every year when demand falls in the autumn.
Even with all that, gasoline is still cheaper than that bottled tap water you and I pick up at the gas station. I suppose it's too much to expect a trustee of one of our institutions of higher education to grasp the basics of Economics 101. Then again, maybe we shouldn't be too dismissive of Schenk's ravings about what crooks the oil barons are. It takes one to know one.
I have read many articles today from your site. While you seem to have a genuine desire to uncover the truths around us, you miss that opportunity with your self-elevating and arrogant approach. You obviously need to get a real job and become part of the "machine" you seem to loath so.
Ever heard of the last 1%? It's the difference between doing something right and simply doing something. They both take 99% effort, leaving only 1% more to make it a quality product.
Your missing something my friend. Of course, you'll disregard this message as coming from someone who dislikes you or comes from another point of view. I respect your effort, but dude, get some other points of view once in a while.
I am a proud liberal. Do you have a centering idealogy? I doubt it. You like to kick up dust, and tear down others.
Posted by: Bob | September 06, 2005 at 08:32 PM
Bob,
I don't understand your complaint. What do you mean by "other points of view"? If you mean there is another interpretation of the facts than one we present, people frequently give us the other side of the story. If they're right, we acknowledge that.
If it's the pugnacious tone of our articles and commentary, no apologies. Too much of what needs to be known about our local institutions gets swept under the rug in the name of being nice. Besides, how nice are we supposed to be towards those who misuse and abuse the public's trust and tax dollars?
If there is something specific you don't like or think needs to be changed, Bob, let me know. Maybe I'll agree, maybe I won't, but I'll accord you the respect of telling you why.
Bill Tingley
Posted by: The Executive Director | September 07, 2005 at 09:57 AM