Did Nixon deregulate oil? And was it 12$ a barrel ?

[orpupilofnature57]

[Gman]

1. Not that I remember.

I don't know that oil has ever been regulated. Why are you asking?

[KSU Wildcat]

2. Nixon tried to regulate all prices

and it was a total disaster.I cannot remember how long his wage/price freeze lasted but it got everything out of wack. If left alone the price of all things will find a level of its worth. Supply and demand ultimately establishes the worth of a service or product.

[ClassWarrior]

8. That's Radical RW propagated nonsense.

Not that Nixon regulated - he did.

What's nonsense is that the theory of supply and demand is a practical reality.

NGU.

[KSU Wildcat]

9. Please explain your theory..

More people want a product or service than is available the price goes up. More people producing a product or service than people need or want, the price goes down.

If you see things different, I am interested in learning about it...

[ClassWarrior]

10. It's obviously one component in a complex system.

If you honestly believe it's the only factor that contributes to pricing - apart from regulation - you're incredibly naive.

NGU.

[KSU Wildcat]

11. I am obviously naive...

but I know what I believe and can explain it. I am also open to other's ideas and more than willing to listen to why they believe what they do.

I am really not surprised that you answered my question like you did.

[ClassWarrior]

13. What you believe makes many assumptions that are not...

...really true: that there is near-perfect competition, that there is a perfect knowledge by both buyers and sellers, that there is equal accessibility, that there is no collusion by sellers to inflate prices, that both buyer and seller are equally powerful, and that both buyers and sellers act rationally.

So I hate to break it to you, but things really aren't nearly as simple as the bill of goods that the Radical RW wants to sell you - and you obviously have bought.

NGU.

[ClassWarrior]

19. .

[ClassWarrior]

23. ?

[Sgent]

24. You forgot the beginning of the theory

that is -- "all other things being equal".

This underlying assumption is incorrect in almost every aspect of commerce.

[Election]

15. Well, I believe supply and demand is practical reality

But the question is, is it the reality we want? :)

[ClassWarrior]

16. Like any idealized theory, if it worked perfectly, it'd be wonderful.

It doesn't. See post #13 above.

NGU.

[Homer Wells]

14. Ahhh YES! The 7% Solution!

I remember it well

[no_hypocrisy]

3. On a side note, Nixon deregulated the value of gold, taking this country

off the Gold Standard, allowing the price of gold to increase or decrease according to the market and playing havoc with inflation and real price of your dollar bill.

[madokie]

4. so true

If I would have bought up all the gold I could have when I was in VN at 2o bucks an ounce, boy o boy

[Odin2005]

21. In the Book "Dark Ages America" the author describedm the ending of the gold standard...

...as the US going into de facto default, a result of LBJ spending like nuts trying to have both guns and butter.

[KharmaTrain]

5. Windfall Profits Tax...

I've never known any administration...Repugnican or Democrat that has attempted to regulate the price of oil through legal means, it's always been under the table. In the gas shortage of '73-'74, it was Nixon's good buddy, the Shah of Iran, who made up the shortfall of oil the Saudi's had stopped sending, thus breaking the embargo.

Well letme see if I can remember...before the oil embargo, a gallon of gas was around 30 cents a gallon, it shot waaaaay up to over 60 cents. The real pain in that embargo was all the closed stations...you couldn't find an open one on Sunday and most ran out of their supplies quickly leading to long gas lines. I still remember waking up at 5am and waiting in line for 3 hours to get a chance to fill up with leaded regular. For years, there was a deserted station that still had their pre '73 prices up of 28.9...even after the Iranian embargo of '79-80 that sent gas over $1 a gallon.

Nixon and the Democratic House & Senate passed a windfall profits tax at the time on the oil companies. Right after the bill passed, miraculously the embargo began to ease and the prices stabilized.

[orpupilofnature57]

7. Thanks

[SoCalDem]

12. And the dreaded "even-odd" system sucked

It did make me remember the license plate numbers. One even, one odd..

One thing to remember too, is that back then most of the people in Asia & India were still on foot, on bicycles or scooters..

That's all changed now (largely thanks to US)

The US is like the friendly neighborhood crack dealer.. we got them "hooked"...and now they have a bigger appetite than we planned on..

[AngryAmish]

6. Nixon instituted wage and price controls

It set off the stagflation that ruined the 70s.

[ThomWV]

17. Read Up On The Texas Railroad Commission

Or better yet, pick up a copy of the book "The Prize" by Daniel Yergen (sp?) to learn the full story on the history of oil. It is a truly astounding work.

[orpupilofnature57]

20. Thanks

[WillyT]

18. According To This, I Was Paying .35 Cents a Gallon When I First Got My License !!!

Now, that was in 1971 dollars, which according to this is $1.43 in 2006 dollars.

Check it out: http://www.energy.ca.gov/gasoline/statistics/gasoline_cpi_adjusted.html

Have no idea if this has anything to do with the topic at hand, but I thought y'all might find it useful.

:shrug::hi::shrug:

[KSU Wildcat]

22. That will not pay the taxes on gasoline now.

The taxes on gasoline have risen percentage wise as fast if not faster than the product itself.