So I was discussing the gas prices with a friend today, and I said in passing "And now Congress is trying to pass a bill that will make gas even more expensive." Friend: "How?" Me: "Well, somehow, by charging a company more money, they will charge the consumer less." I don't understand this at all. This isn't logic; it's madness! Who comes up with this stuff?

Capitalism is incredibly simple. Anyone with a brainstem and a basic high school education of the economy should be able to get it: supply and demand. If something is needed, demand, then it is produced by someone, supply. The supply is priced by the amount a consumer is willing to pay for the good. In today's global economy, the price of oil is not quite as simple, but still remains within this basic framework. The difference is that "futures," a tool used to predict a commodity's worth in the future, allows speculators to basically bet on how much oil will be worth. This is currently causing prices to rise.

But futures are not a cause of prices, they are an indicator. While they can temporarily inflate prices, the market (and the supply/demand system) cannot support skyrocketing prices based purely on speculation. The reason oil is over $130/barrel is because people will pay that much for it. I realize gas is ludicrously expensive here, at $4.25 down the street in upstate New York, but I haven't noticed any less volume on the streets. People are still going to work; people are still going to sporting events and fairs; people are still going to see Indiana Jones, Sex and the City, and Ironman. Sure, everyone is making adjustments, but the market can support these high prices. Where will people stop driving altogether? My guess is when gas ends up costing more than people can afford with a paycheck. Then people will stop buying gas, and companies will stop buying oil. Prices will drop.

But how do we make prices drop now, for our convenience? Capitalism tells us to increase supply. And how can this be done? Easily. In fact, writing a simple piece of legislation would do the trick: Allow us to drill on American soil NOW! It is absolutely ridiculous that we cannot drill our own oil for our own people. There are no adverse consequences to be concerned about. Clinton/Gore said that drilling in ANWR back in the 90s wouldn't do any good, because it would take ten years to get into circulation. Well it's been ten years, and look at where we are! Maybe it will take ten years from now, but who's to say gas won't be $6, $7, or $10 per gallon by then?

If we drill here in the U.S., gas could (gradually) drop in price to mayabe under $3, or even (gasp!) $2 per gallon. It is such a simple solution. It will not ravage our landscape or destroy our planet. Oil is the only viable energy source we have right now, so let the companies drill it on their own dime and get it to us! It's a win-win-win-win.

Sen. Chuck Schumer (D-N.Y.) wants to go after the oil futures, as I described above. But this will drive them to unregulated markets like Dubai, which is catching up to New York very quickly (due in no small part to its lack of rules). This would put crucial futures (vis a vis, oil) in the hands of a competitive Middle Eastern economy, one that Schumer himself claimed is a threat to the New York Stock Exchange.

The liberal solutions to the energy crisis are so complex and high-minded so as to confuse you into believing them. It isn't about fancy words like "commodity futures" or "windfall profits taxes," it's about supply and demand. Increase supply to match an increasing demand. That is a real solution to a very real problem. Liberals aren't about solving this energy crisis, they just want to scare you into more government dependence. And they want to use the political capital from this to force oil companies either out of business or into government dependence as well. That's what every liberal policy results in: more government in your pocket and your lives!

Vote conservative. Vote for real change. And vote for domestic drilling now!