Fact-checking Newt Gingrich on gas prices

Updated 2:41 p.m. Eastern Time

Republican presidential candidate Newt Gingrich appeared on CBS This Morning today, where host Charlie Rose asked if he truly believes President Obama wants to see the price of gas increase, as Gingrich has repeatedly indicated.

"Of course, he does. Come on, Charlie," the former House speaker responded. "You know that. He has said it himself."

Asked to explain this quote, Gingrich spokesman RC Hammond emailed over a June 2008 interview with then-candidate Obama in which he was asked if he wants to see higher gas prices in order to push people to move to alternative energy sources. Asked if the high prices at the time were helpful, Mr. Obama responded, "I think that I would have preferred a gradual adjustment." Hammond said that amounts to an implicit -- if gradual -- call for higher gas prices.

In the CBS This Morning interview, the former House speaker went on to say this: Steven "Chu, his secretary of Energy, said he wanted in 2008 said he wanted gasoline prices in America to get to the European level which is $9 or $10 a gallon."

This is accurate: Chu told the Wall Street Journal in September 2008, before joining the Obama administration, that, "Somehow we have to figure out how to boost the price of gasoline to the levels in Europe." His argument was that Americans need to be coaxed into buying more energy-efficient cars and living closer to work.

What Gingrich doesn't mention is that Chu has long since reversed that position, and that the White House has long said it does not favor increasing gas prices. In the Wall Street Journal story that includes the Chu quote, Mr. Obama is quoted as saying an increase in gas taxes would be a "mistake."

Gingrich also said that the Obama administration policy "has been outrageously anti-American energy," echoing Republican criticisms of Mr. Obama for what they say is a failure to tap American oil sources. In reality, American oil production has increased across the board under Mr. Obama.  He also said "the high price of gasoline is a direct result of Obama"; experts say the recent spike in gas prices has largely been the result of Iran threatening to stop exporting oil to Europe and other nations. 

Asked about Gingrich's claims during Tuesday's White House briefing, Press Secretary Jay Carney pointed to "all of the actions the president has taken since being sworn into office to increase domestic oil production, to increase domestic gas production," including new lease sales. He said the rise in gas prices is attributable to "a variety of factors," among them "unrest in certain regions of the world."

Carney then took a shot at Gingrich, saying that periodic rises in gas prices prompt "magic solutions being put forward by politicians who may or may not know what they're talking about."

Elsewhere in the interview, Gingrich was asked about his claim that Mr. Obama must be defeated in November to protect national security. Presented with the administration's claims it's been effective in fighting terrorism, Gingrich responded, "My answer to that is it's been so effective they barely got a guy on Saturday who's trying to blow up the U.S. Capitol."

That's a stretch, to put it mildly. Federal authorities had been investigating the alleged would-be bomber, Amine El Khalifi, for a year; indeed, the tools he planned to use to carry out the attack were provided by the government. "The explosives were inert, the gun inoperable and the supposed al Qaeda member was an undercover officer, according to court documents," as the Associated Press noted. The FBI had been investigating El Khalifi since last January.

Gingrich made other claims in the interview that can't be directly fact checked, but certainly seem to raise questions, among them "this is an administration that no country really trusts." Asked if he is questioning the patriotism of the president, Gingrich responded by saying, "The president of the United States is patriotic in a world view that involves the writing of Saul Alinsky, it involves a radical reinterpretation."

Gingrich: Obama has lost trust of other nations

[rusureuwant2know]

No, Chu still wants to raise gas prices - the whole point being to increase spending on research for alternative sources of energy. He does just think raising prices more gradually would be better, just as Hammond said. It is being intellectually dishonest to say Chu has "reversed" his opinion when he still wants gas prices headed up, albeit more slowly.

[occupy_cbs]

Boom times are back in Okla. oil production

"Just five years ago, we were importing 60 percent of our oil. Today we are importing only 42 percent."


http://www.cbsnews.com/8301-18563_162-57384161/boom-times-are-back-in-okla-oil-production/?tag=cbsnewsTwoColUpperPromoArea#comments

[occupy_cbs]

Domestic Oil Production is Up 11% Under Obama and Was Down 15% Under Bush

The GOP's favorite line of attack against the President recently has been that his administration is blocking American oil production and making gas prices go up

Incredibly, none of the Republicans hammering Obama for supposedly strangling domestic oil production bothered to check the data.

While domestic production declined each year under President Bush, falling from 5.8 million barrels per day to less than 5 million, production (XLS) has increased 11% since Obama came into office. It would have increased even more if a pesky oil spill in the Gulf of Mexico hadn't intervened.

http://www.enviroknow.com/2011/05/15/oil-production-up-under-obama/

[occupy_cbs]

bmallen3: "first, we import oil from the Middle East, a policy pushed by that idiot Obama and his democrat minions."



We've been importing OIL from the Middle East since before Obama was born, but still get more OIL from Canada and Mexico.

We imported 60% of our OIL in 2005 and only imported 40% of our OIL in 2011, proving that President Obama's policies are working great, with U.S. domestic OIL production the highest in 8 years!

[occupy_cbs]

U.S. Domestic Crude Oil Output Highest in 8 Years

Domestic crude oil production rose 3.6 percent last year to an average 5.7 million barrels a day, the highest since 2003, according to the Energy Department. Natural gas output climbed to 22.4 trillion cubic feet in 2010 from 20.2 trillion in 2007, when the Federal Energy Regulatory Commission warned of the need for more imports.

http://www.bloomberg.com/news/2012-02-07/americans-gaining-energy-independence-with-u-s-as-top-producer.html

[RobAla]

Still waiting for CBS to fact check President Obama........

............... ?????????

[occupy_cbs]

U.S. Domestic Crude Oil Output Highest in 8 Years

Domestic crude oil production rose 3.6 percent last year to an average 5.7 million barrels a day, the highest since 2003, according to the Energy Department. Natural gas output climbed to 22.4 trillion cubic feet in 2010 from 20.2 trillion in 2007, when the Federal Energy Regulatory Commission warned of the need for more imports.

http://www.bloomberg.com/news/2012-02-07/americans-gaining-energy-independence-with-u-s-as-top-producer.html

[occupy_cbs]

Once again, speculators behind sharply rising oil prices

WASHINGTON -- U.S. demand for oil and refined products - including gasoline - is down sharply from last year, so much that United States has actually become a net exporter of gasoline, unable to consume all that it makes.

Yet oil and gasoline prices are surging.



Why are we allowing BIG OIL and the republicans to stop us from regulating the OIL industry, since it's the Wall Street speculators with their derivative instruments, that is adding 60% to the price of a barrel of OIL for no other reason than GREED and CONTROL!

[occupy_cbs]

Once again, speculators are behind sharply rising OIL prices.

What speculators do is bet on what price a commodity will reach by a future date, through instruments called derivatives.

A speculator purchasing vast futures at higher than the current market price can cause OIL producers to horde their commodity in the hopes they'll be able to sell it later on at the future price. This drives prices up in reality -- both future and present prices -- due to the decreased amount of OIL currently available on the market.

Investment firms that can influence the OIL futures market stand to make a lot; OIL companies that both produce the commodity and drive prices of their product up through OIL futures derivatives stand to make even more. Investigations into the unregulated OIL futures exchanges turned up major financial institutions like Goldman Sachs and Citigroup, and also energy producers like Vitol.


As a result of speculation among these and other major players, an estimated 60 percent of the price of OIL per barrel was added; a $100 barrel of OIL, in reality, should cost $40.

[noloyalisti]

In Canada, right next door, the oil industry is tightly regulated just like the banks. These are all private corporation bu they have to play by the rules. There are not wild swings in gas prices ever and the interest rates for loans are lower and do not have wild swings even for variable rates.

And they certainly don't have the blatant daily criminal activity that you see from the Bankster and oil corporations.

[occupy_cbs]

The U.S. is the closest it has been in almost 20 years to achieving energy self-sufficiency. In the first 10 months of 2011, 81% of U.S. energy demand was met by domestic sources, up from a record low of 70% in 2005. his would be the highest proportion of U.S. energy demand met by domestic sources since 1992.

This upward trend in energy self-sufficiency is due in large part to increased oil and natural gas development, and low natural gas prices. Domestic oil output is the highest in eight years. The U.S. is producing so much natural gas that, where the government warned four years ago of a critical need to boost imports, it now may approve an export terminal. Other factors include improved vehicle fleet fuel efficiency.


In 2005 we imported 60% of our OIL to meet demand.

In 2011 we imported 40% of our OIL to meet demand.

[noloyalisti]

Control of oil and gas supply is far too important to leave in the hands of the Wall Street criminals and the right wing oil corporations.

It is way past time for the government to take over the oil corporations to serve the 99% instead of the Top 1%.

[occupy_cbs]

While I find it extremely unlikely that we will ever get the government to "takeover" BIG OIL, especially with today's totally dysfunctional congress, I certainly would like to see strict regulation of the derivative instruments that these GREEDY speculators are using to increase our OIL prices by 60%, if not their complete abolishment!

[occupy_cbs]

U.S. Domestic Crude Oil Output Highest in 8 Years

Domestic crude oil production rose 3.6 percent last year to an average 5.7 million barrels a day, the highest since 2003, according to the Energy Department. Natural gas output climbed to 22.4 trillion cubic feet in 2010 from 20.2 trillion in 2007, when the Federal Energy Regulatory Commission warned of the need for more imports.

http://www.bloomberg.com/news/2012-02-07/americans-gaining-energy-independence-with-u-s-as-top-producer.html

[occupy_cbs]

Once again, speculators are behind sharply rising OIL prices.

What speculators do is bet on what price a commodity will reach by a future date, through instruments called derivatives.

A speculator purchasing vast futures at higher than the current market price can cause OIL producers to horde their commodity in the hopes they'll be able to sell it later on at the future price. This drives prices up in reality -- both future and present prices -- due to the decreased amount of OIL currently available on the market.

Investment firms that can influence the OIL futures market stand to make a lot; OIL companies that both produce the commodity and drive prices of their product up through OIL futures derivatives stand to make even more. Investigations into the unregulated OIL futures exchanges turned up major financial institutions like Goldman Sachs and Citigroup, and also energy producers like Vitol.


As a result of speculation among these and other major players, an estimated 60 percent of the price of OIL per barrel was added; a $100 barrel of OIL, in reality, should cost $40.

[occupy_cbs]

"Fact-checking Newt Gingrich on gas prices"



Hey newt and you fox/rush parrots -- take a crash course in how OIL speculation raises gas prices, and how investment managers abandoned failing mortgage-backed securities before most people were even aware there was an economic crisis, and looking for other lucrative investments settled on OIL futures.

As in all cases, Wall Street heard the word "bet" and flocked to futures, taking the market to strange new places on the fringe of legality. In the 19th and early 20th centuries it bet on grain. In the 21st century it was OIL.

Despite the U.S. having a glut of OIL due to rising domestic production -- so much that GASoline and other fuels are our #1 EXPORT today -- as well as consumption having fallen since 2006, the laws of supply and demand no longer apply in the OIL markets, and instead, a volatile artificial market has developed.