Inflation

Urges Comprehensive Energy Solution to Combat Growing Costs

August 4, 2008 -- Washington, DC – Concerned about steep increases in commodity prices, on July 18th, Senators Jim Webb (D-VA) and John Warner (R-VA) sent a letter to the Environmental Protection Agency (EPA) in support of a temporary waiver of the federal ethanol mandate. This waiver is intended to help Virginia’s agricultural community, including poultry, dairy and livestock producers, and consumers who have been hit hard by a dramatic rise in feed costs as a result of increased usage of corn-based ethanol.    » read more »

23 June 2008 -- Top officials of the U.S. central bank are expected to hold interest rates steady when they gather at a key policymaking meeting Tuesday and Wednesday in Washington.

The U.S. Federal Reserve has cut interest rates several times recently to bolster economic growth that has been hurt by the faltering housing market, tight credit, and other problems.

But economists say cutting rates too low can spark inflation, which is a growing threat as oil prices soar to ever higher record levels.

Experts interviewed by news organizations, like Bloomberg and Reuters, say the Fed will probably keep interest rates unchanged for a while, but raise them later this year.

Source: VOA News

Sends Letter to FTC Chairman about potential price gouging

June 17, 2008 -- WASHINGTON, DC - At a time when Pennsylvanians are faced with skyrocketing gas prices, U.S. Senator Bob Casey (D-PA) today sent a letter to William Kovacic, Chairman of the Federal Trade Commission (FTC) regarding the potential of price gouging and price manipulation.

“I hope that you and I can work together to give the FTC the tools it needs to investigate and help prosecute companies that are adopting questionable business strategies,” Senator Casey wrote. “The Unites States Congress and the FTC have an obligation to provide consumers with the assurance that whatever price they are paying at the pump, they can be certain they aren't being taken for a ride.”    » read more »

June 17, 2008 -- “There are some who believe that the only solution to our skyrocketing energy crisis is to drill, drill, and drill. And one of their primary targets is the Outer Continental Shelf.

Congress chose to protect these federal waters from oil exploitation in 1981. And Congress has voted to renew that ban every year since then.

Offshore oil drilling rig: Photo by Beau Wade (CC)

But today, these federal protections are under attack.

Let me be clear: lifting the moratoria is a false promise and an unnecessary risk.    » read more »

Oil is fueling an economic resurgence in Kansas

16 June 2008 -- The world's largest oil exporter, Saudi Arabia, plans to increase its oil production by 200,000 barrels a day, to a total of 9.7 million barrels a day, in an effort to ease soaring world oil prices.

Oil-consuming nations have been pressing the Saudis to pump more oil for some time, but members of the Organization of Petroleum Exporting Countries say a shortage of crude oil is not the problem. OPEC says high prices are caused by the weak dollar, speculators and international political tensions.    » read more »

Threat of protectionism is on the rise and will hurt Asia and rest of the world

Kuala Lumpur, Malaysia 15 June 2008 – The prevailing global economic slowdown is fuelling the rise of protectionism in Western economies, noted Lord Levene, Chairman, Lloyd’s, United Kingdom. In a plenary discussion on global risks at the World Economic Forum on East Asia, he observed that there are worrying signs that politicians in Europe and US are prepared to put in place policies to shield their domestic industries.    » read more »

Government actions behind two-thirds of food price increase

Kuala Lumpur, Malaysia 16 June 2008 – Business leaders at the World Economic Forum on East Asia highlighted the role of government in food price increases, warning of mounting unrest and protectionism if urgent actions are not taken.    » read more »