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Free enterprise economics
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Posted by Tom900T (more from Tom900T) on Sat, 4 Feb 2006 21:41:13 Share Post by Email
In Reply to: Can someone please tell me why these profits are kosher, Finch, Mon, 30 Jan 2006 08:55:43
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As Jeff B said "what is the most profit a business can earn?" A free market economy will always reign in prices. Let's remember VCR's among many other technology advances. They initially cost >$500 and now are <$100, much less in most cases. I'd like to see a company try and sell a VCR or even a DVD player for anywhere near those prices. Although gas company profits may seem obscenely high these days they won't last forever. Not only that, but in real money it is still less than what it was 20 years ago. Anyone remember complaining about gas being 70 cents/gal.???

As to other sources ANWR is certainly a viable and important long term one and the environmental impact is virtually negligible with the current state of technology. There was great concern over the Alaska pipeline yet I haven't heard of any environmental catastrophe there. BTW, has anyone heard of a major oil spill from the damaged oil rigs in the Gulf of Mexico after Katrina?? Nope, nada, not a peep. Why? Because the technology used allows them to keep oil from spilling out in case of such an event. Also, has anyone noticed how even after an oil spill nature cleans things up over time?

Yes the impact on the environment is a concern. Yes we should have some alternatives. The alternatives need to be just that though, alternatives, not forced on everyone by any government. Also, the reality of the alternatives need to be told as well. Oil is still the least expensive source of energy there is.

I am glad to see no-one has mentioned supporting the government doing something like some blowhard senators have suggested and imposing a "windfall profits" tax. That is one of the quickest and most foolish ways to cause and even further increase in prices. Tax the rich and profitable corporations so they can pass that on to the consumer! What nonsense! Sorry for the slight rant.

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