[$h@key J0nEZ]

Originally Posted by Matt.is.back2011

War is nothing more than a fiscal stimulus...hence why WWII helped drive the US out of recession...

But as a classic liberal professor from college once told me, if given the choice, he'd rather have stimulus here at home building railroads, schools, transportation, and research, vs. toys that get built then blown up 2 weeks later overseas.

At least with R&D domestically, it pays dividends into the longterm future.

Somebody has forgotten what the Iraq war did to the price of gas and the effects from it.

[Matt.is.back2011]

Originally Posted by $h@key J0nEZ

Somebody has forgotten what the Iraq war did to the price of gas and the effects from it.

Gas prices are rarely effected by external factors due to being inelastic goods with a constantly increasing demand profile, giant oil companies abroad and domestically, and the oligopolies that exist in the petroleum market that control the supply of crude oil.

What's your point, exactly?

[licence2kill]

Originally Posted by $h@key J0nEZ

Somebody has forgotten what the Iraq war did to the price of gas and the effects from it.

1. we were away from the zero lower bound so fiscal multiplier was zero
2. gas prices rise on restriction of supply and/or expectations of higher real growth leading to higher demand

[$h@key J0nEZ]

Originally Posted by Matt.is.back2011

Gas prices are rarely effected by external factors due to being inelastic goods with a constantly increasing demand profile, giant oil companies abroad and domestically, and the oligopolies that exist in the petroleum market that control the supply of crude oil.

What's your point, exactly?

How quickly thou forgets....

[$h@key J0nEZ]

Gas prices have always been affected by war and instability in the Middle East.

Edit: Take a guess when the Gulf War happened.

[$h@key J0nEZ]

My original point was that fuel prices are a huge factor in the economy. That's what caused the recession. It's also why we are having such a hard time coming out of it. It will be some time before the country adjusts. If it ever happens at all.

[licence2kill]

That is not what caused the recession.

[barrel roll]

I love the equivalent of "nu-uh!" responses.

Through knowledge, we gain freedom. Impress upon me the knowledge you have.

[licence2kill]

if you think gas prices caused the great recession then you need to incinerate yourself for the sake of humanity

[$h@key J0nEZ]

Originally Posted by licence2kill

if you think gas prices caused the great recession then you need to incinerate yourself for the sake of humanity

Quality post from Mr. if you know so much why didn't you save us from the recession?

Caution: Watch for falling bubbles!

[spracks21]

Actually, as everyone knows, the recession was due to kids not getting enough calcium in their diets.

[Matt.is.back2011]

Originally Posted by $h@key J0nEZ

My original point was that fuel prices are a huge factor in the economy. That's what caused the recession. It's also why we are having such a hard time coming out of it. It will be some time before the country adjusts. If it ever happens at all.

I figured you'd get to your point eventually.

So instead of taking the L2k approach, I'm going to ask you to please provide sources and statistics for your beliefs.

1. Please show statistical proof that gas prices increase during times of war, and decrease during times of peace.

2. Please explain how gas prices caused the current global recession.

[TheSilentAssassin]

Originally Posted by $h@key J0nEZ

My original point was that fuel prices are a huge factor in the economy. That's what caused the recession.

You can't just make a claim like that without providing any form of evidence.

[Swerve22]

Originally Posted by Matt.is.back2011

War is nothing more than a fiscal stimulus...hence why WWII helped drive the US out of recession...

Then why does Obama keep going on and on about needing to cut military spending in during the debates?

[Matt.is.back2011]

Originally Posted by Swerve22

Then why does Obama keep going on and on about needing to cut military spending in during the debates?

Because of the latter portion of my post; apparently Obama is in agreement with my liberal economist professor.

[$h@key J0nEZ]

Originally Posted by TheSilentAssassin

You can't just make a claim like that without providing any form of evidence.

I'm not providing anymore evidence for the blatantly obvious. The chart I posted clearly shows corresponding gas prices going up at the same times the wars in Iraq started. If you can't put two and two together to figure out the effects from that on the country's economy then I can't help you. I'm not in anyway denying the housing bubble's effects on the economy in 2008, but that only compounded a recession that was already there. The heart of the matter is oil prices. Oil prices are what caused Detroit to fail. The American auto industry was way to slow bringing fuel efficient cars to the market. Instead opting to continue the trend of making gas guzzling SUVs and sports cars. Also don't forget about the rising oil prices spurring the trend of outsourcing jobs which was hurting the auto industry already.

[TheSilentAssassin]

Originally Posted by $h@key J0nEZ

I'm not providing anymore evidence for the blatantly obvious. The chart I posted clearly shows corresponding gas prices going up at the same times the wars in Iraq started. If you can't put two and two together to figure out the effects from that on the country's economy then I can't help you. I'm not in anyway denying the housing bubble's effects on the economy in 2008, but that only compounded a recession that was already there. The heart of the matter is oil prices. Oil prices are what caused Detroit to fail. The American auto industry was way to slow bringing fuel efficient cars to the market. Instead opting to continue the trend of making gas guzzling SUVs and sports cars. Also don't forget about the rising oil prices spurring the trend of outsourcing jobs which was hurting the auto industry already.

lol, not worth it

[$h@key J0nEZ]

Originally Posted by TheSilentAssassin

lol, not worth it

No balls

[Matt.is.back2011]

Originally Posted by $h@key J0nEZ

I'm not providing anymore evidence for the blatantly obvious. The chart I posted clearly shows corresponding gas prices going up at the same times the wars in Iraq started. If you can't put two and two together to figure out the effects from that on the country's economy then I can't help you. I'm not in anyway denying the housing bubble's effects on the economy in 2008, but that only compounded a recession that was already there. The heart of the matter is oil prices. Oil prices are what caused Detroit to fail. The American auto industry was way to slow bringing fuel efficient cars to the market. Instead opting to continue the trend of making gas guzzling SUVs and sports cars. Also don't forget about the rising oil prices spurring the trend of outsourcing jobs which was hurting the auto industry already.

Correlation=/=causation, you know. Just because fuel prices were rising during the Bush years/times of war, does not mean that wars cause increasing fuel prices, nor does it prove that the rise in gas prices themselves caused the global recession.


Also, this:http://en.wikipedia.org/wiki/List_of...oil_production


Iraq only makes up 3.75% of the world's oil production, and is 6th in OPEC for oil production.



And, this:http://www.indexmundi.com/energy.asp...h=productio n.

So your claim that destabalizing Iraq (through war) caused a spike in fuel prices isn't really true; the only time oil production from Iraq ever changed was in the formative years of the War, but since 2005 things have basically been status quo...



Gas prices have been rising steadily since the late 1990s, and yet it was not until late 2007 that the US officially entered into a recession. If gas prices cause recessions, why did it take so long to take notice?

Also, American automakers made a strategic decision in the early 2000's to abandon fuel effecient vehicles for larger, more 'fun to drive' ones. While Honda and Toyota saw record years in Sedan + hyrbid sales, they were utterlty getting destroyed in SUV and truck sales...between the two competing business units, the auto market essentially became a wash until 2006 and everyone was competing just fine.

[TheSilentAssassin]

The recession started in 2007. Want to know what else happened in 2007? The Colts won the Superbowl. Therefore the Colts are responsible for the recession. "I'm not providing anymore evidence for the blatantly obvious" and I'm not going to provide any experts that believe this. "If you can't put two and two together to figure this out, then I can't help you."

Seewhatididthere? I'm not bothering because you have yet to make a real argument. Not because I don't have balls (also what are we? 12?).

[Umami]

Originally Posted by $h@key J0nEZ

Gas prices have always been affected by war and instability in the Middle East.

Edit: Take a guess when the Gulf War happened.

I see maybe a little itty bitty spike when the war started, beyond that you're making **** up. If anything exports stabilized.