George W. Bush was elected twice with the key help of the major oil
companies' contributions to his campaign. In other words he owed them big time.
Early on in the planning concerning the war on Iraq, the original concept was simply to topple Saddam and put someone else in charge who would be friendlier towards the U.S. in the region. That would mean someone strong enough to keep the opposing factions in line, but more importantly someone who'd allow a few little (hardly even noticed, or worth mentioning) U.S. strategic military bases on Iraqi soil. These bases would be close enough to major targets in the area without endangering Israel becoming an object of retaliation, because the attacks were launched from Iraq.
The U.S. would become a major influence in the Middle East, we’d become a major factor in the control of Iraq's huge oil reserves and of setting their oil prices, and maybe finally forcing a peace that GW could take credit for. A good enough plan, even an admirable plan from the Bush White House.
But remember a big favor hangs over Bush's head for financing him into the Oval Office!
Many outraged editorials were written after the beginning of the U.S. led invasion of Iraq about Bush just wanting the oil reserves for his buddies in Texas, but we've all been misled. The major powers that be in Houston not only didn't want possession of the oil reserves in Iraq, they didn't want anyone else to have them either.
Yes you read that right!
Originally the plan was to invade Iraq and release its huge oil reserves to the world market, plummeting oil prices, and then breaking the back and sabotaging the stranglehold that OPEC has on the world market. Bush would be a hero after gasoline prices dipped back to or even below a dollar a gallon, the economy would explode when Americans suddenly had more buying power, and GW would probably have a giant "Saddamesque" statue erected of himself in national mall that would rival the Washington Monument.
Why was the plan sidelined in 2003?
Bush needed/wanted/craved/coveted reelection in 2004, and, without big oil's financial backing, that was simply not going to happen. Can you imagine the outrage in Houston when they caught wind of the White Houses’ plan? They weren't about to let "good ole' boy" Bush interfere with their own plans to completely suppress Iraq's oil reserves, because if they were released, those record-breaking, obscene, and unimaginable oil company profits that everyone's so outraged about lately (except rich Republican stock holders that is) would evaporate in mid air; that's why!
Article comments
— go to most recent comments1 - Jet in Columbus
My friends, since I've been repeatedly accused of it in the past, let me state up front, that I acknowledge each and every reasonable comment made on my posts as a courtesy to the writer. This is an act of letting the writer know that I'm paying attention, whether I agree or not, rather than ignoring your input.
This is not an act of getting in the last word as I've been accused of before, and probably will be again.
I hope that I, and all of us learn and grow with each comment made, toward understanding eachother.
Thank you for your attention, I now return you to your regularly scheduled program...
This has been a recording
2 - Benjamin Glasgow
I've been wondering if GW's rhetoric of late decrying the ills of our "oil addiction" has left some oil execs more than just a little anxious. I imagine they receive advance warning (and reassurance) on the talking-points fox line… err, fax line I mean.
3 - Jet in Columbus
Benjamin #2 Good point, but probably no need. Or didn't you hear the rumors that Bush's new press secretary may be a commentator for Fox News?
4 - Richard Marcus
Well as much as I'd like to lay the blame for as much as possible at feet of George W. to blame him for high gas prices is a little silly. We in North America (that's Canada too, I'm not sure about Mexico) have been paying ridiculously low prices for our gas at the pump compared to the rest of the world for decades.
In 1980 when I was in Germany the price of gas at the pump was about 75 cents a litre, or around $3.00 a gallon ( I think its around 4 litres to a gallon, sorry if I'm wrong, but I was the last generation in Canada that was on the pounds and ounces system like you folk south of the border so I've never really figured out metric)
The point I'm making is we are finally starting to pay the actual cost of gas, based on the world's supply and demand, not just our own. No matter how much we'd like to delude ourselves that North America is separate from the rest of the world we're not.
We're just going to have to face facts, we need to start looking in the mirror and accept responsibility for our own consumtion. It's far too easy to blame Bush or other politicians, but they really have no controll over the world price situation no matter what they'd like to think.
Even if they are making a short term gain right now with the high prices at the pump George's buddies are going to be out of work within a couple of decades when the price exceeds what people are willing to pay for it and we finally wake up to the fact that we don't need to drive an eight cylander vehicle to the mall for our shopping.
cheers
Richard Marcus
5 - Jet in Columbus
Dear Richard, I kinda expected this to come up, and I'm glad it did.
Sure, to the rest of the world, it looks like we're crying little spoiled brats bawling because someone took away our rattles. The view from your side of the fence would be "Hey we've got to pay 6-7 dollars a gallon, why shouldn't you?"
Well as painful as it is to admit, maybe you're right. But consider this.
When a business gives you preferencial treatment your whole life, because you're his best customer, you get used to it, you plan your family budget around it, you get comfortable with it.
But what if you went to the grocery store one day, and suddenly the price of milk, eggs, beef, and beer suddenly doubled from what it was two years ago, what if a week later it doubled again?
People here plan their lives around travel, and in America we've become comfortable with the fact that we can come and go at will, to see relatives, go to and from work, and have the freedom of independant movement.
Suddenly we're having 30-50 dollars a month taken out of an already tight budget.
This is going to effect our spending power, and this is going to impact our ecomomy. To compensate, shipping companies are going to have to violate contracts and raise shipping charges. Everything in the American economy is delivered in big trucks that use lots of fuel. Stores will have to raise prices to off set the fuel charges. So you see we're not only being hit in the gas tank, but again in the wallet for daily purchases as well.
We can't afford other things, so we buy less, they can afford to ship less, wage demands go up, profits go down.
Meanwhile the fat-cats in Houston just sit back, puff on their cigars, straighten their stetsons and smile in the comfort that they've got a president in their pocket and the world by the balls. Know why, everyone's blaming the a-rabs for gas going up, and don't include Texas oil men in that blame. Every time the cartel raises prices Houston smiles, and so does their banks.
Thanks for your contribution
6 - Jet in Columbus
Richard: regarding comment $. Thanks much, I edited my comment 5 to make it part of my personal site's article, which makes it much more complete.
Thanks for the inspiration.
Jet.
7 - Ruvy in Jerusalem
Jet, I have to agree with Richard on the US paying way too little for gassoline and oil compared to the rest of the world. And the coversion for liter to gallon is 3.76 liters per American gallon (which differs from the imperial gallon once used in the UK).
But Richard, the point you're missing is that the American oil cartels have been screwing everybody else over for decades and now are doing it at home too.
Oil shuld cost no more than $18/barrel to provide more than reasonable return to the oil companies and various partners for something that costs $3/barrel at the wellhead.
8 - Jet in Columbus
Thanks Ruvy #7. You may be missing something in your assumption. How much of your high price of gas is government tax per gallon? We may actually be paying aproximately the same BEFORE taxes.
Americans (depending on which state they live in) are being taxed as much as a dollar or more per gallon! of gas. Foriegn governments around the world have been known to charge at least $2-4 per gallon, which might make up your difference at the pump!
Some states are actually losing revenue because of vehicles that are more fuel efficient, and are actually considering reconfiguring the tax at the pump to your odometer reading!
So you see it's in the best interest of most states/governments to keep the price of gas low so people can afford to buy more gas and use more gallons that can be taxed.
Most Americans at the moment are paying about $3 a gallon, and actually about a dollar or more is in tax!
As more and more cars become more fuel efficient, the oil companies are raising the price at the pump to keep those obscene profits coming in at the same level as consumers buy less, less often per car at the pump.
9 - Jet in Columbus
Gas Taxes per gallon listed by state or country
The tax on a gallon of gas in the United Kingdom is currently $3.40, bringing it to $5.89 a gallon!
In the U.S. in cents we have.
Alabama 39.4
Alaska 26.4
Arizona 37.4
Arkansas 40.1
California 50.4
Colorado 40.4
Connecticut 48.1
Delaware 41.4
Dist. of Columbia 38.4
Florida 48
Georgia 30.6
Hawaii 53.5
Idaho 43.4
Illinois 48.4
Indiana 36.5
Iowa 39.5
Kansas 42.4
Kentucky 39.8
Louisiana 38.4
Maine 41.9
Maryland 41.9
Massachusetts 39.9
Michigan 44.6
Minnesota 38.4
Mississippi 37.2
Missouri 35.4
Montana 46.2
Nebraska .8
Nevada 51.7
New Hampshire 39
New Jersey 32.9
New Mexico 36.4
New York 48.7
North Carolina 40.8
North Dakota 39.4
Ohio 40.4
Oklahoma 35.4
Oregon 42.4
Pennsylvania 45.1
Rhode Island 49.4
South Carolina 35.2
South Dakota 42.4
Tennessee 39.8
Texas 38.4
Utah 42.9
Vermont 38.4
Virginia 37.3
Washington 41.4
West Virginia 43.8
Wisconsin 49.5
Wyoming 32.4
U.S. Average 42
As you can see, it's not our fault that in other countries, they pay waaaaaay more than us!
10 - Jet in Columbus
Looking at the above gas tax chart you can see that we're all paying about the same per gallon worldwide before governments impose taxes per gallone
11 - Andy Marsh
I just wonder why you're always the FIRST person to comment on your own posts?
just a thought...
12 - Jet in Columbus
Just to piss you off Andy-just to piss you off.
If you'd actually read the first comment you'd know why, I've had a few jerks make some unsubstanciated accusations made.
How about a comment on the article? Also the additional information contained in comment 9 and 5 might be educational...
sheesh
13 - Andy Marsh
and in all your other posts???
14 - Andy Marsh
here i was thinking it was just to bring attention to the stuff you're writing...
15 - Jet in Columbus
Ruvy, I hope comment 9 answers your question...
Thanks
16 - Jet in Columbus
You're absolutely right Andy-absofuckinlootly right. I childishly live to see my name in the fresh comments column, I joyously live to see me at the top of the most commenters list. You caught me, I'm just a immature asshole who likes to see my name all the time and have no real contribution to make what so ever to this website.
Now comment on the fucking article, or get lost!!!
{:^p~~~~~~~~~~~~~~~~
17 - Jet in Columbus
I was going to delete this post, and start over again incorporating new information and opinions in comments 5 and 9, but at EO's suggestion, I re-edited it to include them here, so ignore all the above.
Thanks
Jet
:-)
18 - Nancy
I don't think people would be so incensed over oil prices if it weren't for the obscene, record PROFITS Exxon & other oil companies are posting, not to mention the gratuitous addition of insult to injury by gifting their outgoing chairman with a $400 million platinum parachute. THAT'S what I think is the major source of the outrage. An additional reason is that no matter what happens, there's always some lame excuse they come up with as to why they have to raise prices, but when the condition requiring the price raise ceases, then there's never a concomitant reason they need to LOWER prices. Something stinks, there, yeah?
19 - Jet in Columbus
Thanks Nancy, I was hoping you'd give your view. While you were, I did a edit on it incorporating some of those ideas.
As always... Thanks
Jet
20 - Nancy
Yer welcome.
I guess I just really resent that they've gotten so callous & careless & obvious, they just don't care anymore if the public is outraged or not, so now they're not even TRYING to come up with viable excuses. And I don't buy Nalle's contorted arithmatical calculations that try to prove that Exxon is actually losing money, etc. etc. ad nauseam. Yeah, right: tell it to the Marines.
21 - Jet in Columbus
I must've missed something, which blog did Dave assert that?
22 - Nancy
You have missed a lot: just about every thread where we've been attacking corporate profits & the oil companies come up. I don't have enough life or this blog enough room to list them all. Not in this one, tho. It sort of goes hand in hand with his ubiquitous defense of trickle-down economics, & how the very rich getting even richer benefits all of us, etc. etc.
23 - Jet in Columbus
Ahhhh, as Bush Sr. so famously called it "voodoo economics"
24 - Ruvy in Jerusalem
Jet,
Thanks for the compilation of the data. My point was that if the oil cmpanies were making a decent profit, instead of an obscenely high one, the price of gas at the pump would be a lot lower.
Eighteen dollars a barrel translates into roughly .45 a gallon before tax. If a uniform 25% tax were imposed, then the price of gas would be .60 - sixty cents a gallon.
25 - Jet in Columbus
Ruvy, yes you're right. But the governments of this world need something that we all use to tax us out of house and home with, and gasoline for the moment is it.
When we run out of oil, maybe they'll start taxing sugar or corn from which ethanol is made.
Thank you for your contribution sir.