Posted on 10/17/2012 12:32:23 PM PDT by Sub-Driver
Obama's Brutal Gaffe: Low Gas Prices Cratered Our Economy
by Ben Shapiro 17 Oct 2012, 11:48 AM PDT
Last night, President Barack Obama dropped the biggest campaign gaffe of the season – only the media wasn’t watching. It happened during his testy exchange with Mitt Romney over gas prices. First, Obama denied that he’d done anything about denying licenses on oil and gas; he backed off of that shortly. Then he denied that production on federal land was down; he was lying. Finally, Romney hit him with this devastating line:
The proof of whether a strategy is working or not is what the price is that you're paying at the pump. If you're paying less than you paid a year or two ago, why, then, the strategy is working. But you're paying more. When the president took office, the price of gasoline here in Nassau County was about $1.86 a gallon. Now, it's $4.00 a gallon.
Obama’s response was horrendous:
Well, think about what the governor -- think about what the governor just said. He said when I took office, the price of gasoline was $1.80, $1.86. Why is that? Because the economy was on the verge of collapse, because we were about to go through the worst recession since the Great Depression, as a consequence of some of the same policies that Governor Romney's now promoting. So, it's conceivable that Governor Romney could bring down gas prices because with his policies, we might be back in that same mess.
In other words, bringing down gas prices by drilling creates economic recession. That was Obama’s argument.
Does anyone think this president understands basic economics?
(Excerpt) Read more at breitbart.com ...
There is an element of truth to what Obama was stipulating. The gas prices were low at the end of the Bush presidency, in part, due to reduced demand which was caused by the recession.
Obama was implying that if Romney’s policies lead to a deepening of the recession then gas prices would probably come down again.
Think about it. If the economy collapses totally then nobody would be buying oil and, at least in the short term, the prices would drop.
On the other hand, if the economy comes out of recession, then the increased demand will result in higher prices until the suppliers adjust supply upwards. Our concern is that supplies are being squeezed, especially domestic supplies, even while the demand is not expanding appreciably.
Even though there is a grain of truth in both observations we must not allow the implication to stand that higher gas prices are simply the result of an economic turn-around. First, we haven’t turned around. And, more importantly, the increase in prices during the Obama term is due primarily to reductions in supply and pressures on oil produced energy due to taking a lot of coal out of the equation.
Saw it posted on a forum that dated those to August 8, 2010
so not sure as to its accuracy as who really said it. In any case ya, they’re funny.
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Agree, that is also what I heard.
High gas prices = Great economy?
Gas was under a dollar a gallon in the late ‘90’s. Remember the food lines then?
No, it’s the other way around. obama said that gas prices were low because of the economic meltdown.
It’s still a very stupid statement and a major gaffe!!!!
obama and his henchman Chu WANT energy prices to be high—they said so. PHOOEY to both of them!!!!
I think that the gas prices were down in 2009 because of the collapse in demand. That doesn't mean that prices aren't high now because of government policy. If the President wanted lower gas prices all he would have to do is say he was going to fast track the Keystone pipeline. Fuel is a commodity. Trading prices are based on what people think is going to happen to the oil supply.
Overall I think Romney did about a C+ on stopping Obama from using his bogus talking points last night. The democrats have been hammering at Romney for months regarding letting GM go bankrupt. Last night was the first time Romney pointed out Obama did exactly that. The administration took GM into bankruptcy. I would have loved to have seen Romney roll in on Obama by pointing out how non-union employees from Delphi got screwed while Obama took care of his buddies at the UAW.
There’s really nothing surprising about this.
Both The Usurper and his Energy Czar have publicly said they see nothing wrong with $10/gallon gas, as long as everything over the cost of production is taxes.
They are dead serious about this.
What is surprising is the number of voters who don’t realize what an evil maniac they have running the Executive Branch.
Wonder why Candy didn’t correct him?
That's not how I read it (although it might have sounded differently spoken). I read that we can get low gas prices again if we only tank the economy again.
It's just as stupid, only different.
Romney should have said “Back when Bush was president you and the media was slamming him for gas being so high. Remember doing that Candy? Why are you NOT slamming president obama now?”
High gas prices forces people to use less. They’re increasing costs by restricting supply to decrease demand.
And with this line, zero passes from arrogant socialist to an out of touch ignoramus.
Sad really. Invokes memories of Jimmy in 1980, overwhelmed.
Perhaps another Reagan like era is ahead?
RR = R&R
“Saw it posted on a forum that dated those to August 8, 2010”
Oh come on. That’s as credible as Robin Williams’ plan to dismantle the UN
“but I did not hear him say that low gas prices caused the collapse”
That is what I heard as well. He was saying that low gas prices were the result of the “collapse.” Of course, that is completely absurd...but that is what he was saying.
I was certainly better off then under the low gas prices and “collapse” than I am now!
I agree with you.
However, the Kenyan still doesn't understand economics:
1. Gas prices wouldn't fall significantly until WAY WELL AFTER a recession began, and began to cause a significant fall in demand.
2. Low gas prices actually work as a STIMULUS to the economy, sort of like an unofficial tax cut, and to see the economy tank IN SPITE of already-low gas prices means the economy really, really sucks.
But you're correct - I don't read it that the Kenyan thinks that low gas prices cause economic downturns.
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I think Romney knows that's a losing game in a debate. You can't go back and re-try the experiment with everything the same but one variable changed to prove the cause, so people will hear what they want to hear. It's best to let it go and focus on what you can easily defend.
Yeah, that made absolutely no sense.
If gas prices were low in 2008 because the economy “was in a mess”, then the reason the gas prices are high is because the economy is better now? Twice as good?
Mitt may be a Moromon but O is definitely a MORON
Not absurd at all. It is fact. Sorry some of you can’t get it, but this is a losing argument. Crude oil and gas prices crashed in mid 2008 when the world economy took a dive.
Fact
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