Obama and the Oil Speculators

President Obama's re-election prospects rise and fall with the price of oil.  Yet he clings to policies that have caused prices at the gas pump to skyrocket.  Our President's response to this crisis which reaches into every American home is his typical one to any adversity: find someone to blame.  This time, the villains are "big oil" and "speculators." Obama does not know his onions, according to Bruce Bartlett (staff director of the Joint Economic Committee of Congress  and deputy assistant secretary for economic policy at the Treasury Department under Bush).  In 1958, Michigan farmers successfully lobbied Congress to ban future trading in onions.  Onions, it turns out were driving farmers crazy by doubling in price one day and then dropping below the cost of growing them.  Onions are the only commodity for which trading is banned. So what happened to the price of onions?  Without speculators, their price swung even more wildly.  This...(Read Full Post)