Letter to the Editor: Fueling Fear!

Fear fuels high gas prices  Photo: Micov

Dear Editor,

Gas prices have jumped to $3.50 a gallon. Fifteen cents per gallon increase in one week.

Why?

Is there enough oil in the world? So far.

Did all of the oil tankers break down? Not that anyone knows of.

Are all of the refineries closed? Nope.

So, why has gas prices risen so fast?

Oil speculators have forced the price up because they are afraid that changes in Libya might affect access to oil. Think about that for a minute: Because a bunch of money changers are "scared," we are paying $1.00 plus per gallon more this year than last year. They claim to be scared that access to oil might be restricted. In truth, it looks more like an excuse to raise oil prices. (Nine out of the top 20 companies with highest earnings are oil and gas companies).

The Saudi government has already said that they will make up the difference, no problem. In fact, in order to avoid problems, some of the Saudi princes are talking to their citizens to try to make the changes in the government that are toppling nearby regimes.

With this in mind, I propose that we begin paying our bills using the same logic.

When the gas credit card bill arrives, write them a letter indicating that since you are afraid that your car might break down in the near future, you can only pay 80% of the bill. After you pump gas at the station, go in and tell the attendant that because you might have a medical bill to pay when you get home, you can only pay $2.00 per gallon.

While I am not normally a "government should take it over" kind of guy, this is an area of the US economy that the government should regulate. Oil and gas prices that Americans can pay should be set by the government, either a special committee in Congress or the whole Congress. Changes of more than 10% from the original price should require a vote in Congress.

We do this with food indirectly, through subsidies and supply control. With something that can wreck the entire economy in weeks, this is something that we need to take out of the hands of speculators who are apparently emotional enough to need medication.

We need to pay our bills based on future fears and see if that is a satisfactory excuse for the companies that using that excuse with us.

Sincerely,

Robert Peryea
Green Bay, WI

Open Letter to My Republican Legislator

Dear Mr. Lasee,

I am writing to ask you to remain independent during this time of extremely partisan battling.

In Governor Walker's Budget Repair Bill was a provision to sell Wisconsin's energy assets, not to the highest bidder, but to whomever the Governor and/or his appointees decide. That is not a Conservative value nor a Wisconsin way of doing business.

The Senators who have left the state have left using the closest thing to a filibuster we have in Wisconsin. They should be acknowledged for their tenacity and for standing up for what they believe is right.

The budget proposal is over-reaching and, Mr. Lasee, I know that you know that. The budget cuts to local governments makes sense, but the state should not then restrict local governments from doing what they feel is necessary to keep services available. If the federal government were to do the same thing, they would protests throughout Madison and the state.

We are in the fiscal mess we are in because too many people pandered to the loudest donor. They literally sold our state for the easy road. There is, however, difference between correcting course and running aground on your principles.

Mr. Lasee, please consider what is truly right for the people of Wisconsin, not just what is politically expedient for the moment. I am asking that you review this new budget objectively and honestly. That is a conservative ethic and the Wisconsin Way.

Thank you and God bless the great state of Wisconsin.

Bob Peryea

How Does It Really Compare?: Local Gov't. Wages v. Service Industry

In reading through the Governor's budget, I began to think: What percentage do other similar businesses pay for labor?

The business that came to mind was a hospital. They have a large labor force, don't actually make anything and provide a service with minimal materials.

Here's how they stack up:

From page 38 of the Governor's budget:

From "Trends in the Use of Contract Labor in Hospital" by American Hospital Directory, Inc:

The winner is LOCAL GOVERNMENT! Local government pays 43%, hospitals pay 52.4%! Apparently we are getting a deal! And, oh yeah, hospitals are mostly profitable.

Unfinished Business is the Linchpin to Gov. Walker's Budget

During his address to a joint session of the State Legislature, Governor Scott Walker repeated several times that the "tools" provided by the Budget Repair Bill will be necessary for local governments to balance out the cuts proposed in his biennial budget.

The problem is that the Budget Repair Bill has not passed and soon will be a moot point.

According to Governor Walker, the changes to collective bargaining provided by the Budget Repair Bill would allow local governments to not only compensate for the cuts in state aid, but allow them a surplus that they can apply to other parts of our childrens' education.

At the same time, he proposes freeing the UW Madison and UW Milwaukee from the constraints of answering to the state. He also proposes the creation of charter schools all over the state and parents' choice in the Milwaukee area as well.

In this one man's opinion today, that is a lot to promise while cutting the budget significantly.

It remains to read in the budget what parts will work and which ones won't.

Getting Back to Work

I was reading a blog posting by David Leonhardt about putting people back to work.

He made the point that the government is not really trying... I agree. I also think that placing some controls on the economic markets would be a great help.

There is a lot that the government, federal and state can do to help people get back to work. One of the major lessons of the post-World War II era was that education can give us a huge wave to ride. The GI Bill educated an entire generation. That generation, the so-called Greatest Generation, built the America of the 1950's and 60's. Education was the one of the largest contributors to the improvement of our economy.

There is no real effort to stop the Bank of England calls the "doom loop." Like a house that gets shaken by enough earthquakes, eventually it will fall and not get back up. What we need is some logical regulation of Wall Street. The Great Crash of 1929 was caused by Wall Street speculators and led to a real loss of wealth. The current rise in gas prices, that might cripple our recovery, is caused by speculators panicking. We need to stop the rampant speculation on necessities. Let Wall Street bet on Nascar or football. They need to stop betting on derivatives of  derivatives of imaginary markets.

Ayn Rand believed that free markets, truly free markets, would help make everyone richer. She didn't count on Bernie Madoff that same way the Bolsheviks didn't count on Stalin.

Our economy is on the upswing, things are getting better. Now is the time to stop the rabid gambling and thoughtless capitalism that got us into the situation that we are in now. A little logically placed controls run by someone other than the people who created these false markets might stop this destructive cycle.

Read more here: Economix

How Much of Our Fiscal Problems Will Be Solved By a Better Economy?

In this article by Simon Johnson, he talks about the real reasons for our current economic state and how we can get out of it.

The truth is:

• The deficit was not caused primarily by the stimulus, but by significantly decreased tax revenues.
• The Obama administration is continuing the time honored standard of pandering to the banking industry (and most other industries for that matter).
• Only bipartisan cooperation and vision can help us get out of this.

Check this article out.

I think you'll find it interesting.

Also, look on the lower right hand corner at the economic indicators. Things are looking up in almost all sectors, except new homes.

Governor Walker's Budget Repair Bill: Items a Reading

In the bill:

"16.896 Sale or contractual operation of state−owned heating, cooling, and power plants. (1) Notwithstanding ss. 13.48 (14) (am) and 16.705 (1), the department may sell any state−owned heating, cooling, and power plant or may contract with a private entity for the operation of any such plant, with or without solicitation of bids, for any amount that the department determines to be in the best interest of the state. Notwithstanding ss. 196.49 and 196.80, no approval or certification of the public service commission is necessary for a public utility to purchase, or contract for the operation of, such a plant, and any such purchase is considered to be in the public interest and to comply with the criteria for certification of a project under s. 196.49 (3) (b). "

No bids on multimillion dollar power and energy plants! Does this concern anyone else?

Is this truly fiscal responsibilityresponsiblity or is this cronyism to the Koch brothers and their energy company (Walker's 4th largest contributor)?