Schumer's Proposal to Lower Gas Prices Puts Politics Ahead of Saftey and Sound Economics 5/18/2004
From: Sean Tuffnell of the National Center For Policy Analysis, 800-859-1154 or stuffnell@ncpa.org WASHINGTON, May 18 -- Senator Charles Schumer (D-NY), today used the specter of rising prices at the gas pump to attack the Bush Administration for America's decades-long dependence on foreign oil and calling on him to stop filling the strategic petroleum reserve. Experts with the National Center for Policy Analysis (NCPA) said "Schumer's proposal would be laughable if the consequences of its implementation weren't so serious." "Senator Schumer needs a reality check," said NCPA Senior Fellow H. Sterling Burnett. "The strategic petroleum reserve is supposed to be set aside for use in case of war or other national emergency, not to stave off temporary gas hikes. You'd think that the Senator from New York would remember that we are still at war." According to Burnett, even if we were not at war, releasing oil from SPR would be bad policy because it would only have a rhetorical impact on gas prices. For example, when former President Clinton opened the SPR in 2000, releasing the same amount of oil Senator Schumer now recommends, the price of oil dropped a few dollars, but the price at the pump only dropped one penny over the next six weeks. "You'll notice the last time we opened up the SPR, it was also an election year," noted Burnett. "This proposal has more to do with poll numbers than it does gas prices." Burnett also noted Schumers's criticism of American dependence on foreign oil was curious, as he has repeatedly opposed efforts to increase domestic production. For more information or to speak with Dr. Burnett, contact the NCPA's E-Team at 800-859-1154. ------ The NCPA is an internationally known nonprofit, nonpartisan research institute with offices in Dallas and Washington, D. C. that advocates private solutions to public policy problems. We depend on the contributions of individuals, corporations and foundations that share our mission. The NCPA accepts no government grants. |