CNN's Ali Velshi: Big Oil could cut gas prices to help R's retain Congress

[flpoljunkie]

VELSHI: Now, whether they actually did it or didn't do it is an interesting question. I don't think it's -- they could do it. The oil companies -- this doesn't -- there doesn't need to be any conspiracy here. So, for the conspiracy theorists, they can have that put to bed.

http://transcripts.cnn.com/TRANSCRIPTS/0609/25/ltm.04.html

VELSHI: Back in July, both crude oil and gasoline hit their highest recorded prices. Gas was averaging about $3.a gallon. By mid-September, oil had dropped about $15 a barrel, so gas should have dropped about $0.45 a gallon. It actually dropped $0.50 a gallon, and it's dropped more since then.

Could President Bush have had anything to do with plummeting gas prices?

We asked Professor Akshay Rao, who studies pricing strategies.

DR. AKSHAY RAO, INSTITUTE FOR RESEARCH IN MARKETING AT THE CARLSON SCHOOL OF MANAGEMENT, UNIVERSITY OF MINNESOTA: Surely, if he picked up the phone and made, you know, five or 10 strategic phone calls, he might be able to influence prices to some degree. But, you know, I -- I think that it's a fairly farfetched theory.

VELSHI: What's more conceivable, according to Rao, is that the energy industry cut prices without any prompting from Washington. That's because they're worried that if the Democrats win, they'll follow up on threats to tax the energy industry more heavily.

(I would surmise that billions of subsidies given to profit-bloated Big Oil by the Republican controlled Congress would indeed be on the table if Democrats gain control of Congress. Excess profits tax might also be considered.)

We put that idea to big oil's P.R. People.

DOUGHER: It can't be done. They couldn't do it if they wanted to do it.

(END VIDEOTAPE)

VELSHI: Now, whether they actually did it or didn't do it is an interesting question. I don't think it's -- they could do it. The oil companies -- this doesn't -- there doesn't need to be any conspiracy here. So, for the conspiracy theorists, they can have that put to bed.

Maybe the oil companies realize that the Democrats coming in, it's going to be bad for them, because the Democrats have pretty much said to the oil companies, we're going to pile the taxes on if we take over in November.

M. O'BRIEN: Which is why there'll be no e-mails saying this. It just...

VELSHI: No smoking gun.

M. O'BRIEN: ... if it is happening, it just happens organically, shall we say?

VELSHI: And that's what it is.

[texasleo]

1. oil demand lower blah blah blah winter is here blah blah

apparently, Americans only drive from April through August.
Makes perfect sense.

Btw, I'm not writing about this article.

[AX10]

2. That is what is happening.

Big Oil is lowering the price to influence the election.

[MadHound]

3. Proof will be in the pudding as the saying goes

Oil is really dropping right now, as are gas prices. I'm imagining that it will bottom out about a week before the elections, and then start to head back up about a week after for all the "usual reasons". You know, winter coming up, holiday driving season, yada yada yada. And somewhere along about January it will be right back up at the prices that we all started at, which here in Missouri was around $2.89/gal.

I would suggest that all of you do what I'm going to do, which is stock up on as much gas as you can. When it hits rock bottom, I'm going to buy thirty gallons for next summer's mowing season, add some gas stabilizer to it, and store it over the winter. My neighbor is more fortunate than I, he's got a couple of five hundred gallon tanks he's going to fill right before the election.

This little stunt isn't fooling anybody, even the conservatives. However I would suggest that we all take advantage of the situation while we can, save a bit of money, and vote the bastards out in November anyway. Because we all know damn good and well that once Bushco has achieved its abjective, it will continue to drive the population into the ground with high prices.

[Bozita]

4. today's Mike Thompson toon says exactly the same thing

[Javaman]

5. Why do people think that moron* made the calls to the oil execs?

any dimwit knows that chaney is in charge and have we all forgotten about his secret energy meetings? I mean, come the fuck on!

Anyone that has a clue knows what is going on.

Jeeeez :banghead:

[Imagevision]

6. Saudi Envoy Promised Bush a Drop in Oil Prices Ahead of Election

[samsingh]

7. the timing is indeed suspect

at least people are talking about it.

[Bozita]

8. kick