Pain at the Pump

Everyone is feeling the pinch to the pocketbooks at the pumps these days. What can be done? Should anything be done? In this capitalist society it is not the duty of the government to interfere. However the gas prices are getting out of control. Katrina is over and production has recovered yet the prices increase. Oil companies are recording record profits. Obviously we need an alternative power source. However what is the incentive to a major company to invest in alternatives when oil is so profitable? Protecting the environment despite how obviously important it is has never been a motivator for companies.

Some Senators are debating enforcing a winfall tax. However I feel this is a horrible idea. Studies show the free market is better suited for dealing with changes than the government. A winfall tax will take profits from the oil companies and put it in the hands of the government which it will no doubt be wasted or used to line the pockets of dirty politicians.

My advice if any oil company execs are reading is to take your excess profits and invest in your own futures. Oil will run out or become so high priced it will be abandoned. The best option is to invest in alternative energy and excel in it as you have with oil. Look at other industries as times change. Kodak was in trouble as digital cameras emerged. Kodak adapted and got in the digital market. Phone books had to adapt to the internet. No one uses a phone book to look up a number any more. They had to create a web presence. Those are two small examples but you get the idea. Sure it might be 20 years away but eventually oil will not be needed whether oil companies adapt or not. It is in the oil companies best interest to take their profits and invest in alternative energy before the government imposes a tax and wastes it.

General Ideas

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