When Is $100 Not $100?

Dread and Awful Czar,

Remember when you talked about Quantitative Easing? Well, the chickens have come home to roost. It appears that our friends in OPEC will not be lowering the price of oil just because we are not happy with $100 oil. Now the reason the rise in the price of oil is simple, as Kevin D. Williamson points out at The Corner. Oil, itself, hasn’t changed much. The demand continues to rise while we have become more obstreperous with regard to having a real world energy policy. Most importantly, however, the value of the dollar dropped. The reason, of course, is that we’re printing money faster than ever because some genius felt that quantitative easing was the way out of our current economic malaise. Now we are seeing the consequences of this with $3/gallon gas at the pumps because our dollar isn’t going as far as it did 2 years ago. It’s a good thing we have that 2% cut in the payroll tax to underwrite some of the sticker shock. Sadly, that 2% cut will now no longer be stimulatory as Vice President Biden suggested in his USA today editorial. It will now be damage control.

Best,
Dr. J

About The Czar of Muscovy

Божію Поспѣшествующею Милостію Мы, Дима Грозный Императоръ и Самодержецъ Всероссiйскiй, цѣсарь Московскiй.The Czar was born in the steppes of Russia in 1267, and was cheated out of total control of all Russia by upon the death of Boris Mikhailovich, who replaced Alexander Yaroslav Nevsky in 1263. However, in 1283, our Czar was passed over due to a clerical error and the rule of all Russia went to his second cousin Daniil (Даниил Александрович), whom Czar still resents. As a half-hearted apology, the Czar was awarded control over Muscovy, inconveniently located 5,000 miles away just outside Chicago.He now spends his time seething about this and writing about other stuff that bothers him.

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