Quote:
Originally Posted by HazelGod  I think it's erroneous to equate the crude oil commodities market with the retail pricing of refined fuels...and it's also erroneous to apply the simple model of supply and demand, as the reality of our society does not allow us as consumers to influence demand at all.
Even so, what are you positing? That the Fed should decide US fiscal policy based on how it might influence the world market price of crude oil? That hardly seems like either a societally-encompassing or forward-thinking guideline to determine the economic direction of this country. |
Thats a
really good question. With most European countries on the Euro, and the Euro is not subject to political folly as in *priming the pump* by easing interest rates, the Euro has remained strong. Brazil's economy has gotten stronger by strengthening the Real. I was in Italy and they aren't happy with the Euro but Italy has always been screwy with economics.
When you say socially encompassing I don't know what that means. We need a sound currency. If we raised basic Fed interest rates, the dollar would rebound and gas prices should fall. Right now we are inflating away our debt. Is that a good idea? I sure wonder. With gasoline at $4/gallon, how is the average guy handling it? Thats real money to the regular guy.