Message to Republicans; Refute Democratic Lies

Unsurprisingly, given the outrageously high cost of gas and the Left's penchant for pointing the fickle finger of blame at big corporations, we've heard a lot about how big oil is gouging consumers.

However, when you take a look at the actual numbers in California, for example, you find that the "Distribution Costs, Marketing Costs and Profits" for the oil companies make up only 8 cents per gallon of gas.

That doesn't sound like gouging, does it? But if you believe it does, what would you say about the 70 cents per gallon in taxes that's paid by California consumers? Additionally, as Karl Rove has pointed out,

(Oil companies) make about 8.3 cents in gross profit per dollar of sales....Electronics make 14.5 cents per dollar and computer equipment makers take in 13.7 cents per dollar, according to the Census Bureau. Microsoft's margin is 27.5 cents per dollar of sales.

Sure, these oil companies are huge and therefore, even an 8.3% profit adds up to billions of dollars, but when you look at the relatively small percentage that they're putting in their pockets as compared to the humongous share that the government is raking in, it's pretty clear that it's the government, not the oil companies, that is gouging consumers.

The video below epitomizes the untruths spread by Democrats.

Democrats and their special interests: A relevant argument

Here in liberal Minnesota, we're bombarded with an endless string of Norm Coleman and Stuart Smalley, er, Al Franken attacks ads, especially the ones whereby Smalley, er, Franken castigates Coleman for accepting money for "big oil."

Yawn. Big deal.

Here's one thing you have to love about Democrats. They know how to push our buttons. Because of the global warming lie and the subsequent mistruth that 1.) the resultant gasoline is polluting our skies and causing global warming; 2.) big oil is engaging in price gouging and raking in "record profits."

What they hope is that mass public will simply their insane notions at face-value, without engaging in any exculpatory investigation. If the public would peruse the sites of anything BUT the Mainstream Media (including ABC, NBC, CBS, CNN, New York Times, Washington Post), they might realize that a good deal of contrarian information exists.

For example, according to John Hawkins, did you know that for every $1 spent by "Big Oil," they recoup $.08?

Unsurprisingly, given the outrageously high cost of gas and the Left's penchant for pointing the fickle finger of blame at big corporations, we've heard a lot about how big oil is gouging consumers.

However, when you take a look at the actual numbers in California, for example, you find that the "Distribution Costs, Marketing Costs and Profits" for the oil companies make up only 8 cents per gallon of gas.

That doesn't sound like gouging, does it? But if you believe it does, what would you say about the 70 cents per gallon in taxes that's paid by California consumers? Additionally, as Karl Rove has pointed out,

(Oil companies) make about 8.3 cents in gross profit per dollar of sales....Electronics make 14.5 cents per dollar and computer equipment makers take in 13.7 cents per dollar, according to the Census Bureau. Microsoft's margin is 27.5 cents per dollar of sales.

Sure, these oil companies are huge and therefore, even an 8.3% profit adds up to billions of dollars, but when you look at the relatively small percentage that they're putting in their pockets as compared to the humongous share that the government is raking in, it's pretty clear that it's the government, not the oil companies, that is gouging consumers.

Of course Democrats don't want you to know that. Instead they'd rather throw a number in your face, for example $1 billion in profits; well, 1.) "Big Oil" is arguably the biggest industry in the world; 2.) those "billions in profits" are going towards Average Joe's 401k or pension, it's not merely going to Texas Tycoon.

Now we're hearing that Republican-enabled greed fueled the potential economic calamity, greed perpetuated by Wall Street during the Bush Adminstration.

Here we go again.

Much has been written about the Carter and Clinton Administrations' efforts to put minorities into homes (see: Community Reinvestment Act of 1977). What it did essentially was force mortgage lenders to overlook shady credit histories and low incomes in order to make minorities homeowners. In fact, it was "community activists" such as Barry Obama, in efforts to "assuage" banks, threatened to label those who financial institutions who adhered to strict lending standards, RACIST.

Furthermore, under the "special interests" banner, note the following from Townhall's Terry Paulson:

What was our champion of change and hope doing about the problem? Nothing! Records from the Federal Election Commission reveal a possible reason for Obama’s silence. In his three complete years in the Senate, he’s the second largest recipient of Freddie-and--Fannie-connected campaign contributions. It took Sen. Christopher Dodd, chairman of the Senate banking committee, eleven years to receive $165,400 in contributions from GSE PACs and individuals. Obama received $126,349 in just three years.

And now these same hypocritical sons of bitches are pinning the cost of this damn $700 billion bailout on homeowners who bought homes the RIGHT way: through hard work, saving money, sensibility, and good faith.

Liberal Lies: Windfall Profits and Big Oil

In this week's installment of "Liberal Lies," I discuss Obama's windfall profits tax on big oil.

Thanks to XM radio, I was able to listen to my favorite conservative talk show hosts on "America Right," channel 166: Mark Levin, Sean Hannity, Michael Reagan, Rusty Humphries, etc, who discussed Democratic presidential candidate Barry Hussein Obama's recent "energy/economic plan" to take the windfall profits of "Big Oil" (boy the libs love that term) and use them to provide needy families with $1000 worth of energy rebates (gasoline, heating oil in the winter, electricity, etc.).

According to CBS News, "Democratic presidential candidate Barack Obama on Friday called for a $1,000 'emergency' rebate to consumers to offset soaring energy costs amid fresh signs of a struggling economy with the nation's unemployment rate climbing to a four-year high.

Obama told a town-hall meeting the rebate would be financed with a windfall profits tax on the oil industry."

Now really...how much sense does that make? In mathematical terms, a 62.5% tax increase on oil companies is necessary to come up with the money to provide this energy rebate, or about $75 billion. As the Politically Drunk blog points out, "Do we impose a 62.5% tax on Oil company profits, in which Institutional and individual investors dump the stocks; relegate them to penny status; bankrupt the industry; and cause an insta-depression? Or... Does the government pick up the tab, causing a record budget deficit to balloon further and destroying the promises of government investments in alternative energy?"

You see, everyone likes to blame "Big Oil." They're an easy target; and the Democrats know how to push our buttons. The corrupt mainstream media provides endless reports on oil companies record profits, and instinctively we assume that they're colluding to keep the price of oil up.

Leftist groups like Consumer Watchdog perpetuate this lie that Big Oils has collectively bent over the American public: "'The 'drill now, drill everywhere' campaign is a hoax on Americans,' said Judy Dugan, research director of Consumer Watchdog, based in Santa Monica. 'Oil companies are able to sit back and make more money by selling less.'"

What the IDIOTS, to quote conservative talk show host Mark Levin, won't tell you is that prices are driven by DEMAND. Hmmm...where is the demand coming from? How about China or India for example, as their countries become more modernized? To match increased demand while keeping prices down, industry needs to interject more SUPPLY into the stream, supply in the case being MORE OIL. That's economics 101.

Furthermore, where are the "obscene" big oil profits going? The Left would have you believe that the tens of billions of dollars in oil profits are being shared among a few rich oil tycoons, like Al Gore at Occidental. But in fact, these oil profits are being shared among many. The Left and their benefactors in the mainstream media won't tell you this, but is that despite the low profit margin (i.e. $.08 profit for every dollar spent, compared to $.20-.30 for the computer industry), not only is Big Oil paying an astonishing amount in taxes, but those “record profits” are actually going to people’s 401k’s for one thing…that wealth isn’t just going to ONE “oil despot,” it’s being shared ACROSS the board. But we’ve been so indoctrinated by the MSNBC’s, CBS’, and New York Times of the world to think that Big Oil is “bending us over,” we as a people automatically believe the lies.

Note the following from one of my favorite authors, John Hawkins:

"Unsurprisingly, given the outrageously high cost of gas and the Left's penchant for pointing the fickle finger of blame at big corporations, we've heard a lot about how big oil is gouging consumers.

However, when you take a look at the actual numbers in California, for example, you find that the "Distribution Costs, Marketing Costs and Profits" for the oil companies make up only 8 cents per gallon of gas.

That doesn't sound like gouging, does it? But if you believe it does, what would you say about the 70 cents per gallon in taxes that's paid by California consumers? Additionally, as Karl Rove has pointed out,

(Oil companies) make about 8.3 cents in gross profit per dollar of sales....Electronics make 14.5 cents per dollar and computer equipment makers take in 13.7 cents per dollar, according to the Census Bureau. Microsoft's margin is 27.5 cents per dollar of sales.

Sure, these oil companies are huge and therefore, even an 8.3% profit adds up to billions of dollars, but when you look at the relatively small percentage that they're putting in their pockets as compared to the humongous share that the government is raking in, it's pretty clear that it's the government, not the oil companies, that is gouging consumers."

One would think that with these facts, it would be pretty to combat mindless leftist and liberal lies...

But it isn't...we'll keeping trying, though.

Minneapolis Star-Tribune: New TV ad scolds Coleman for taking oil industry funds

Giggling with delight; that's how I'd describe the Minneapolis Star-Tribune's blurb about incumbent Minnesota Republican Senator Norm Coleman for taking campaign contributions from oil companies.

According to the Star-Tribune, "A Democratic-leaning organization on Thursday unveiled a television advertisement criticizing Republican U.S. Sen. Norm Coleman for campaign contributions he has received from oil industry interests."

The perception I see is that because "Big Oil" is evil, as vehemently portrayed by the Mainstream Media, this will negatively affect the Coleman campaign against Democratic challenger Al Franken, among others.

The Star-Tribune states, "It challenges Coleman for voting to grant oil and gas companies billions of dollars in tax breaks and says he has accepted $210,000 in campaign contributions from oil company interests.

"Minnesotans are paying more for gas than ever while big oil companies are making billions," the ad charges."

Hardly true...big oil is already the most heavily taxed and regulated industry in the country. You've probably heard your liberal co-workers, colleagues, and friends clamor about either levying price controls against oil companies or taxing them further. Sorry to say, that in a free market society, those sorts of measures do not work.

The reason why "Big Oil" is reporting such profits is that in a free market society, supply/demand sets prices. Oil exporters such as Saudi Arabia, Nigeria, and Venezuela, for example cannot pump more oil, or face political crises that often impact production. Furthermore, if our Democratically-controlled legislature would ever enact price control measures, oil companies would more than likely laugh in our face and sell their wares to China and India, where demand is astronomical.

Regardless, Coleman has to decide where he stands here; this country is not configured at this point, and with the current state of the economy, to implement alternative energy sources. Cheap fuel could potentially be a shot in the arm for our economy. Unfortunately, big oil is portrayed as an evil, thanks to the liberal mainstream media and the environmentalist movement. Yet, he talks about supporting the Lieberman/Warner cap and trade legislation.

But at some point, especially in the face of a potential economic catastrophe in this country, the good people of this country are going to DEMAND cheap fuel. At some point, it's time to drill in Alaska and offshore, while building additional oil refineries.

I don't see this ad as a detriment; Coleman needs to embrace the idea of expanding our drilling and building aforementioned refineries. Moreover, it's time to hit back against the global warming proponents.

Energy Pontifications

As countless millions in our country can attest, energy and by extension global warming is hot button issue. Those on the Left summarily dismiss endless renunciations that Earthly heating and cooling are patterns that vary year to year, epoch to epoch as blasphemy, despite scientific data to the contrary. Their prism-like viewpoint on the matter revolves around "Big Oil" and "human consumption."

As the economy trudges along toward an economic catastrophe, the last thing the good citizens of this country should worry (besides rising food prices) is the rising cost of fuel prices. The mindless Left, spurred on by Barry Obama, demand that we turn down our thermostats below 72 degree while eating and driving less. Ride a bike to work, they say, heat your homes with solar or wind power, they implore. What the elitists cannot fathom is the economic toll of "going green" will take on the average American; nevermind the Green Czar himself, Al Gore, consumes on average 20 times the monthly amount of energy you or I do, while whisking away to far reaches of the planet in his private jet. But, as the Greenies say, we buy carbon credits!

The simple matter is this: we cannot afford to "go green." Furthermore, the Left is so consumed with hatred for "Big Oil," that they will never agree to opening the vast Alaskan oil reserves, or oil off our coasts. Moreover, this delusion with "ethanol" has driven prices of food to absurd levels, as farmland is used to grow corn, leaving less fields for other foodstuffs (e.g. grains).

So not only are we emptying our bank accounts to fill up our vehicles, we're figuratively taking out second mortgages to put food on the table. Can there be any doubt that the Socialists, er Democrats, suppress capitalism? Blame "Big Oil," they say, for rising fuel costs. But rather, let's blame this mess on the Left; as demand from developing countries (e.g. China and India) grows, supply remains static. This is tenet #1 of elementary economics, as demand grows, so must supply to keep costs even.

Yet the Liberals remain steadfast that "Big Oil" has colluded the markets, driving the price of oil through the roof. "Price Controls," they clamor. If we were to be so inane to enact price controls on "Big Oil," they are not bound to sell us oil. They will merely sell to the highest bidder, namely China and India (which subsidize oil in the neighborhood of $.18 a gallon).