Price of fuel

[steve dunham]

Originally Posted by thoer

My county is ground zero of the sand supply needed for fracking. Neighbors are fighting neighbors and its not pretty. The current cheap plentiful oil supply might slow the sand mining demand down long enough for the local small communities to figure out how to deal with it all in a rational manner.

We camped at Perrot SP in Trempealeu County Wisconsin this fall with 4 of our grandchildren. The physical damage done by the mining of fracking sand is obvious ,the human toll is just better hidden . I hope you get a handle on the issue soon .

[Vermilye]

Glad to see all of you that have under $2.00 per gallon regular; here in upstate NY with our high fuel taxes, it is still $2.69 (although that is far better than it was a couple of months ago)...

[gbaglo]

Originally Posted by thoer

My county is ground zero of the sand supply needed for fracking. Neighbors are fighting neighbors and its not pretty. The current cheap plentiful oil supply might slow the sand mining demand down long enough for the local small communities to figure out how to deal with it all in a rational manner.

Maybe you can import tar sands from Alberta? Win, win?

[thoer]

Originally Posted by steve dunham

We camped at Perrot SP in Trempealeu County Wisconsin this fall with 4 of our grandchildren. The physical damage done by the mining of fracking sand is obvious ,the human toll is just better hidden . I hope you get a handle on the issue soon .

The irony of it all is that our small area of WI, IA and MN, called the Driftless Region, had just started becoming more widely known for the beauty of our bluffs and valleys. The last 3 glaciers missed our area, leaving some very ancient geography in place, rather than being scraped flat like much of the Midwest. Tourism had just become the 2nd or 3rd largest industry at about the same time the sand boom hit, so now the tops of those bluffs are getting lopped off to get that ancient sand buried under them.

[Jim Bennett]

Originally Posted by gbaglo

May be gloomy in Alberta, but cheery elsewhere in the country.

Many Canadians own shares in the oil industry, and there is lots of production outside Alberta too. Alberta also transfers quite the bundle of money that the rest of the country benefits from, which stems from oil revenue. A major portion of the job losses in the oil sector will be to people here to work from other provinces too.

[gbaglo]

Mine is just information gleaned from CBC news and panel discussions on the situation.
Job losses in the oil sector may be made up with more manufacturing jobs in Ontario ( unless they make stuff for extracting oil ).
One thing I do know about the economy is that I know nothing about economics.

[rbryan4]

I don't know much about economics either, but I read those who do. Moody's Analytics estimates that the fall in gas prices will put over 100 Billion dollars in US consumer's pockets vs what they had last year, and will be a boom to the economy as a whole. Of course, if you are vested in the Oil industry, there's a hit.

[gbaglo]

And that's the benefit. Booming U.S. economy plus lower Canadian dollar due to lower oil prices benefits Canadian exports.
Suspect Keystone pipeline is dead. I think my mutual fund owns some of that.

[rbryan4]

Originally Posted by gbaglo

And that's the benefit. Booming U.S. economy plus lower Canadian dollar due to lower oil prices benefits Canadian exports.
Suspect Keystone pipeline is dead. I think my mutual fund owns some of that.

Dunno about the pipeline. There's a HUGE push to get it passed in the Senate next week.

[gbaglo]

Senate can pass it, but they can't make it a profitable venture.

[cpaharley2008]

John Keynes proposed a "multiplier/accelerator effect" when you have a dramatic change in income cause by price drops. See here for an explanation Multiplier & Accelerator Effects. Basically with $100.00 additional money available the effect will and can have a multiple fold increase throughout the economy.

[MyronL]

Re: multiplier effect...

[escape artist]

Originally Posted by cpaharley2008

John Keynes proposed a "multiplier/accelerator effect" when you have a dramatic change in income cause by price drops. See here for an explanation Multiplier & Accelerator Effects. Basically with $100.00 additional money available the effect will and can have a multiple fold increase throughout the economy.

Hi: cpaharley2008... John Kenneth Galbraith was a "Keynesian" economist serving 5 American Presidents. He also hailed from "The north shore of Lake Erie".
I just don't know what this has to do with the price of gas!!! Alf
escape artist N.S. of Lake Erie

[cpaharley2008]

Just adding more gas to the price of gas, I guess.....

[escape artist]

Originally Posted by cpaharley2008

Just adding more gas to the price of gas, I guess.....

Hi: cpaharley2008... My guess is that we are all victims of "Time", and this drop in fuel prices is just in time for our now annual trip south. I just have to figure out what I'm going to do with the extra wealth I'll have.
I got 2 raises thanks to the CPI also, but the health insurance gets more each year I age. Alf
escape artist N.S. of Lake Erie

[gbaglo]

Oil holdings taking a beating again this morning.

[steve dunham]

According to the noon news, the DJIA has dropped 350 pts. this morning If one can believe the news reports the culprit is falling oil prices and its, affects on the economy . I like the lower oil prices but in the long run they may do as much damage to the economy as $5 gasoline

[dfandrews]

Originally Posted by escape artist

Hi: cpaharley2008... John Kenneth Galbraith was a "Keynesian" economist serving 5 American Presidents. He also hailed from "The north shore of Lake Erie".
I just don't know what this has to do with the price of gas!!! Alf
escape artist N.S. of Lake Erie

But what would Milton Friedman, the supply side Nobel Laureate economist, say?

[Loren & Cathy]

Originally Posted by steve dunham

According to the noon news, the DJIA has dropped 350 pts. this morning If one can believe the news reports the culprit is falling oil prices and its, affects on the economy . I like the lower oil prices but in the long run they may do as much damage to the economy as $5 gasoline

I would have to agree with that. It was nice to see a little off the top but this has been extremely oversold. Almost all commodities are now way down from a year ago. Everything today has such volatile price swings that you can get burned real fast. Loren

[BCnomad]

Y'all are bringing back bad memories of second/third year economics classes.

And some good ones too.