Gas prices in the Twin Cities are now under $2.00 a gallon in some places, thanks in part to fewer driving miles by cash-strapped consumers and, therefore, lower demand. Dawn Duffy of AAA Minneapolis told the Star Tribune that “crude oil is about half the cost of what it was in July, demand has gone down [and] our inventory of gasoline rebounded rather quickly after the two recent hurricanes.” (OPEC is cutting production by 1.5 million barrels a day in hopes of slowing the price drop.)
Other factors include a seasonal dip in prices this time of year, after what some analysts say were overly inflated gas prices throughout 2008. Also, as CNNMoney.com argued in August, prices are down as a result of a crippled U.S. economy: “A weaker U.S. economy affects not only demand from drivers, but it can also weigh on commercial fuel use if consumers buy fewer goods.”
But Rep. Michele Bachmann offers two other factors: the expiration of the ban on offshore oil exploration — and herself.
In an Oct. 29 campaign event with Norm Coleman, Bachmann took credit for gas prices that in her district were $2.04 a gallon, “That was my goal. When I started out early this year, my goal was to get to $2 — oh they gave me grief for it.”
A day later at her Townhall blog, she gave this explanation for the drop in prices:
What happened the past few months to lower the cost of gas? Several things, but perhaps most importantly, Congress has let the ban on offshore oil exploration and oil shale expire, sending a signal to the markets that the United States may finally be ready to up their supply. Also, the collapse of the global markets has stabilized the American dollar. In other words, we’re now getting more bang for our buck.













8 Comments »
Comment posted October 31, 2008 @ 3:22 pm
Whenever I hear this story I just want to gas up the Hummer and Vote Republican.
Comment posted October 31, 2008 @ 3:57 pm
How much longer is her nose now!
She sure is a unique one.
Comment posted October 31, 2008 @ 5:20 pm
please vote this idiot out of office.
Comment posted October 31, 2008 @ 11:18 pm
All it is is stock market manipulation. Oil hit resistance and went down from there. It is as simple as that. Don’t worry, we will see higher crude prices later on. I think we should just fire the whole bunch (Congress) and not replace them. They spend money like it is growing on trees at a time when we shouldn’t be. I wonder if they have ever done any financial forecasting of exactly what our nation is going to be like 10-20 years from now? If they think we are in a crisis now, wait until then, we will be screaming fire. They give 700-800 billion to companies that use the money for parties (AIG), banks that use the money for bonuses, buying up other banks, and now they want oversight on where that money is going! What do you expect when you give money to crooks in the first place? How ridiculous our public figures are. And these people are supposed to be our brightest, informed citizens?
Comment posted November 1, 2008 @ 12:00 am
Minnesota Independent is the only news outlet that has been on Michele Bachmann and her outrageous statements. What is it about any news or journalistic source that precludes it from presenting the true facts? The Pawlenty Office of Administrative Hearings/Minnesota PUC is complicit in this onfolding environmental disaster:
http://www.powi.ca/pdfs/events/2008-10-08-how_the_oil_sands.pdf
Comment posted November 1, 2008 @ 8:36 am
ThinkProgress adds to the discussion:
http://wonkroom.thinkprogress.org/2008/11/01/bachmann-gas-prices/
Comment posted November 1, 2008 @ 11:48 am
Michele tried to ban “magical thinking” like Aladdin in libraries and education boards!
TELL your Republican friends to WRITE-IN Aubrey Immelman so Bachmann can no longer embarrass Minnesota.
Republicans! WRITE-IN Aubrey Immelman.
Republican Aubrey Immelman has returned to the MN06 race after Bachmann’s “anti-American rant” which DISQUALIFIES her from congress in my Republican opinion.
WRITE-IN Aubrey Immelman. Immelman offers a credible alternative for the non-Neocon Republican in MN06. Strong anti-Iraq positions vs. Bachmann.
http://www.immelman.us/
OK to post/repost
Comment posted November 13, 2008 @ 1:03 pm
Well I think $55 a barrel oil might have something to do with the drop in gas prices, not oil exploration that won’t bring new production to the market for a long time. I went ahead and locked in these gas prices for the next year at this site petrofix.com. No more worrying about gas prices for the next year.
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