Two years ago, Sen. Debbie Stabenow was re-elected to a second term. Unfortunately, she still hasn’t learned Economics 101. Proof that she’s clueless about economic principles is what she said while delivering the Democrats’ weekly radio address. Here’s one example of Sen. Stabenow’s economic illiteracy:

“Republicans want more drilling, more consumption and more tax giveaways for the big oil companies,” she said. “Democrats say that those are exactly the policies that got us into this mess to begin with.”

Supplies of oil are stretched thin. Each summer, we struggle refining oil because we haven’t built a new refinery in 30 years. Meanwhile, Democrats filibuster drilling in ANWR, off the Atlantic Coast, the Gulf Coast and in the Pacific.

In other words, Democrats are perplexed with high gas prices. They’d have a different approach if they accepted the fact that prices spike when demand outstrips supply. They wouldn’t be perplexed if they embraced capitalism instead of socialism.

Here’s more proof that Sen. Stabenow and her cohorts don’t have a plan on bringing down the price of oil:

She promoted the Democratic proposals for changing energy policy. Those call for:

• Ending billions of dollars in tax breaks for big oil companies.
• Forcing the oil companies to do their part by investing some of their profits in clean and affordable alternative energy.
• Protecting the American people from price gougers and greedy oil traders who manipulate the market.
• Temporarily stopping the diversion of oil to the national Strategic Petroleum Reserve, which is already 97 percent full.
• Standing up to the Organization of Petroleum Exporting Countries and other oil-producing nations that are working together to keep oil prices high.

In other words, Democrats think that they can drop the price of gas to consumers while they’re increasing oil companies’ cost through higher taxes. The only way prices drop while costs are increasing is with price controls.

Based on the Democrats’ talking points, they want forced socialism in the form of demanding oil companies to do what the government wants them to do. This is typical liberal top-downism.

Another way Democrats want to make the cost of energy more affordable is by stopping the evil oil companies’ price gouging. It’s a nice, time-tested line but it’s more about sounding like you’re fighting for the little guy than about actually doing something.

More important in understanding this is hearing what Democrats aren’t saying. They aren’t saying that they’ll increase refining capacity. They aren’t saying that they’ll follow France’s lead in building more nuclear power plants. They aren’t saying that they’re increasing refinery capacity. In other words, they’re avoiding saying that they aren’t doing anything to cut the cost of driving a car or heating a home.

That isn’t a plan. That’s chutzpah.

Technorati Tags: Gas Prices, Energy Policy, Refineries, Nuclear Power, Tax Increases, Debbie Stabenow, Big Oil, Democrats

Cross-posted at LetFreedomRingBlog

1. Has anyone ever wondered why gas prices in Europe are much higher?

   Comment by Michael Ejercito — May 11, 2008 @ 6:01 pm

2. And since when has not knowing a whit about economics hurt any politician lately?

   Consider the typical dumbed down voter of 2008. Some of whom apparently can even handle simple economic theory and math required to budget a monthly mortgage payment.

   Comment by T. A. Gray — May 11, 2008 @ 6:50 pm

3. Peak Oil

   Comment by Hat Pines — May 11, 2008 @ 8:40 pm