[Congressional Record Volume 158, Number 36 (Tuesday, March 6, 2012)]
[House]
[Page H1164]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
GAS PRICES ARE KILLING THE AMERICAN CONSUMER
(Mr. WELCH asked and was given permission to address the House for 1
minute and to revise and extend his remarks.)
Mr. WELCH. Gas prices are killing the American consumer. They're
doing real damage to small businesses.
In my State, Cabot Creamery, which has fixed price contracts to
deliver cheese, very important to farmers, very important to that
business, price of gas going up a dollar, it's like another $135,000
off their bottom line.
There are long-term issues we've got to address, but you know what?
There's stuff we can do in the short term. The futures market has been
flipped upside down. It should be serving end users like airlines, fuel
dealers. Instead, it's been taken over by speculators.
Goldman Sachs study says about $23 on the price of a barrel of oil is
attributable to speculation. That's about 56 cents when you go to fill
up your pickup truck, about an extra 15 bucks just for the speculation
premium.
Past Presidents have used the Strategic Petroleum Reserve to spook
the speculators, to send a shot across their bow that they're going to
be on the wrong side, the losing side of these trades. Let's use the
Strategic Petroleum Reserve to give some relief to our consumers and to
our small businesses.
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