Oil: The Anti Obama Lubricant

By Rob Janicki
This is a followup to my op/ed post titled Oil. I based that article on market psychology and how it applies to the price of gas at the pump.  It seems that Investors Business Daily is of the same or similar mind.

IBD
[...]  Just as President Obama was lecturing the country about how more drilling won't lower gas prices, oil markets called his lie — cutting prices $2 a barrel in mere talk of releasing some oil from the strategic reserve.

Clearly, markets respond to changes in policy, long before any oil actually reaches the tank. Yet Obama continues to peddle the fiction that drilling doesn't matter.

Obama has cut production in public areas by 8%. He continually smears oil companies, and threatens them with $4 billion in new taxes. He reflexively kowtows to environmentalists by, among other things, killing the Keystone XL pipeline.  

Meanwhile, oil markets are smart enough to know that Obama's claim that we can fix our energy problems by throwing billions of taxpayer dollars at politically correct "green" sources is pure folly. Even his own Energy Dept. admits that renewable energy will count for a fraction of the nation's supply as far out as 2035.  [...]


Once again, markets are forward looking institutions based upon human psychology of either profit opportunity or risk avoidance of circumstances which would mitigate against profit growth.  Risk avoidance is obtained by participating in risk management activities, (think hedging in oil futures markets) which seek to mitigate unknown market responses in the future.  Markets abhor instability and uncertainty and react to rumors, actual impingement's upon the market in terms of supply and demand and finally upon government regulations or the prospect of changes in government regulations.

Obama, in furtherance of his political ideological goals, has placed America and all Americans in grave danger of an economic meltdown precipitated by his unyielding intransigence to reversing course on our domestic fossil fuel production.  This isn't just a difference of opinion between traditional Republicans and Democrats.  This is Obama's battle ground to no less than completely change America's governance and economic system from a capitalist economic system operating within a constitutional republic, to a socialist economic system within an authoritarian statist system with co-conspirator corporatists aiding and abetting such political conversion.

America simply can't survive another four year term of Barack Obama.  Our long standing institutions are being methodically undermined.  Think of the Justice Dept. under Eric Holder.  It's not that Holder is incompetent.  Holder is on the very same page as Obama.  Holder is doing his part to fundamentally change America into another country based upon the failing models of the socialist states of Europe and he is doing this from within government.  Our nation is a nation of laws, not men.  When laws are ignored, perverted in their application to be something they are not, a fundamental pillar of our government is under serious and potentially mortal attack.

Obama and his acolytes are the same as the communists of the 1950's infiltrating government for the purpose of converting America to a totalitarian state.  Today's efforts by Obama may not lead to a Stalinist state, but even soft socialist totalitarianism is an impediment to liberty and freedom and ultimately leads to enslavement of a nation's people.