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On Gas Prices and Political Pomposity

Inflation Calculators from InflationData.com

Hillare Belloc’s Advice to the Rich: “Get to know something about the internal combustion engine. And remember -- soon you will die.”

To what should we attribute the steep rise in gas prices?

A Hartford paper noted Connecticut’s “double-digit spike” in gas prices under the headline “Pain at the pump.”

Gas prices were far less painful under the administration of former President Donald – “drill baby, drill” -- Trump, now beleaguered with multiple court actions, none of them accusing Trump of a border policy that has ushered into the United States millions of illegal aliens, or imprudent “taxes on the rich and the middleclass.

The Poynter Institute’s Politifact reported in December 2023, “Federal Energy Information Administration data shows that the average gasoline price during Trump’s four-year term was $2.46 per gallon. During President Joe Biden’s presidency so far, the average [gas price] has been $3.54… GasBuddy.com data shows that about 99.2% of U.S. gas stations are selling gasoline for less than $5 per gallon.

A recent story in the Hartford paper notes, “Gas prices in Connecticut jumped nearly 30 cents a gallon in the last month -- 20 cents in the last week alone – little more than a month away from the long Memorial Day holiday, the traditional start of the summer driving season... The average price of a gallon of regular gas in Connecticut,” according to the paper, “was $3.71” as of Wednesday , April 24.

Gas prices under Trump were low, among other reasons, because Trump’s energy policy was devoted to decreasing the price of energy by increasing its supply.

GasBuddy, a site that tracks the ups and downs of national average gasoline prices, is projecting that the price at the pump could soon hit $4.10 per gallon. By May, the average price may reach $4.25 per gallon, likely remaining above $4 until at least November.

When the supply of a product or service increases, its price decreases. When the supply of a product or service decreases, its price increases, according to the law of supply and demand. This law is enforced by what Adam Smith called the “invisible hand” of a private free market place. Decreases in the supply of relatively clean natural gas have increased because the supply of the product has been reduced by a very visible hand of an ideological driven administration that wishes to punish energy producers that do not depend upon solar or wind production.

A glut in oil supply, assuming taxes and demand remain stable, will result in a reduced cost at the pump. Taxes also add to the price of gas and, in Connecticut, gas is taxed at the port of arrival and again at the pump. When state government wished to bring down the price of gas at the pump, it did so by eliminating the port tax – temporarily. The taxes placed in Connecticut on the wholesale price of gasoline are  multi-layered: per gallon the federal excise is 18.4 cents, the state excise tax is 25 cents, and the Petroleum Gross Receipts Earning Tax is about 27 cents.

Naturally, the higher the price of gasoline, the greater the taxes collected by state and federal governments, perhaps the only institutions in the Unites States that are not offended by high gas prices -- because they swell government treasuries.

What Biden and his slew of neo-progressives in Connecticut know about the economy couldn’t fill a thimble. And they know as little about battery powered vehicles, prohibitively expensive and unloved by the buying public.

The price of gas is high, and will remain so, because the Biden administration and its wealthy political promoters among Connecticut’s rich, comfortably situated in toney Greenwich Connecticut, Governor Ned Lamont and U.S. Senator Dick Blumenthal’s lairs, have not taken Belloc’s advice seriously -- “Get to know something about the internal combustion engine. And remember – soon, you will die.”

Though some of our immortals believe, not without reason, they will die with their political spurs on, immortality is a rarity rather than an exception in politics. Rich, middleclass or poor, we shall soon die, some of us knowing little about the internal combustion engine. Belloc’s point is that riches are an insulation that protects those who are not kings of the earth from the cruel “winds and hurricanoes” raking the heath upon which King Lear, chastised by poverty, declares, “Learn to feel what wretches feel, that thou may’st shake the superflux to them, and show the heavens more just.”

One of the problems with politics in the USA is that lordly politicians, dreaming they are immortal and above the laws of nature and nature’s God, rarely suppose they will ever meet a judge more severe that any of the conservative/progressive members of the U.S. Supreme Court.

They are wrong.


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