Author: Rory B. Bellows
Transportation experts warn that high oil prices could cripple New Jersey’s economy.
James Hughes, a Dean at the Edward J. Bloustein School of Planning and Public Policy, warned that high fuel costs could push manufactures to move to Mexico as opposed to China becuase of the shorter distance. Goods made in Mexico would mean that they would shipped via rail and enter the US at Pennsylvania Rail Stations as opposed to New Jersey Ports.
Every day there is a new story about high costs of gasoline and the disasterous effects it has on our economy yet Democrats still oppose expansion of our domestic oil supply. The only way to decrease prices is to increase supply. World Supply is currently even with demand. There is no slack.
Today’s article included the following blurb:
Daniel Lerch, a program manager for the Post Carbon Institute, said that worldwide demand is exceeding supply and all the easy oil has been discovered.
There is no other energy source that can replace oil, he said, as nothing is as easy to transport, has the volume of supply as oil, or can be adapted to as many uses.
“We are absolutely dependent on oil. We cannot do anything without oil,” he said.
If there is nothing that can replace oil and all the “easy” oil has been discovered why not look for more? The mere discovery of oil off our coasts, in ANWR and in the Green River Formation, where more than 3 times the proven reserves of Saudi Arabia exist, would send a shock to the oil markets.
The fact of the matter is we need oil. The only way to combat high prices is to increase supply. Anyone who has taken an intoductory economics class knows that an increase in supply will lower prices. Why aren’t we looking to expand our domestic supply?