In less than two weeks, members of the Organization of Petroleum Exporting Countries (OPEC) have met in Algeria to consider a major cut in oil production.
Since July of this year, oil has fallen from a high of 147 U.S. dollars a barrel to around 40 dollars a barrel. That’s a four-year low.
Is this good or bad news?
We’re following perspectives from FOX News, The Baltimore Sun, Lebanon Daily News, NBC, and Gulfnews.com.
Low oil prices means gas prices are down in the U.S. Here’s how FOX News put it.
“Gas prices once again providing some good news for all of us. Average price now at its lowest
level in nearly five years. A national survey found the cost of gas falling 22 cents over the
past two weeks. The average price of a gallon of regular hitting 1.75 on Friday and the last time the gas prices were this low were March of 2004...” (FOX News)
The Baltimore Sun backs this up with an editorial view that it is good news for the U.S.
“..cheap oil is the best present we could ask for that doesn't come from Washington. Taxpayers don't have to pay for it. It won't increase the national debt. It'll weaken Iran, Russia and other places that do not love us.” (The Baltimore Sun)
The Lebanon Daily News disagrees in an editorial.
“The long-term result of this cheap oil will likely be a steady rise in energy prices, once many of the alternative-energy projects are abandoned.” (Lebanon Daily News)
Further, the Daily News says the price should be inflated to 85 dollars a barrel to keep energy projects alive and well.
NBC’s Meet the Press took that issue up with U.S. President-elect Barack Obama.
Brokaw: Why not take this opportunity to put a tax on gasoline, bump it back up to $4 a gallon where people were prepared to pay for that, and use that for alternative energy and as a signal to the consumers, those days are gone.
Obama: Keep in mind what's happening to families across America. Yes, gas prices have gone down but in the meantime, maybe job maybe their hours have been cut
back or if they are a small business owner, their sales have gone down 50, 60, 70 percent. So putting additional burdens on American families right now I think is a mistake. (NBC's Meet the Press)
And that brings us back to the OPEC meeting in less than two weeks. Can the organization inflate prices?
Gulfnews.com says OPEC delayed its meeting to mid-December.
“It needed to assure enforcement of its last announced production cuts before imposing new cuts.” (Gulfnews.com)
Forbes picks up where Gulfnews.com leaves off saying OPEC is having problems getting its member states to comply with current cuts.
“…only 66.0 percent of the total cut has been implemented.” …Ecuador did not reduce production at all.” (Forbes)
How have lower gas prices impacted you? Would you be in favor of artificially inflating the price?
Please share your thoughts on Newsy.com – and check out our sources.
Copy the code and paste it to your blog or website:
