http://www.nma.tv/ Oil at $100 per barrel? Gas at $4 per gallon? These are the new economic realities. Allow Jen-Jen and Vanessa to explain what's driving up the price of crude. LYRICS: Life's hard nowdays for the average Joe. I don't have a job, that's the way it goes. On top of it all I gotta break the bank, just to buy the gas to fill my tank. Four bucks a gallon? That shit is whack! We went to war for oil, I want my cash back. Who can tell me why this time around, oil is up while the economy's down. Joe my man, you've been watching the news? World events have been driving up the price of crude. It's been going wild, shooting up like an arrow, Holy shit, it's above a hundred dollars a barrel! When the dollar goes down, oil rises, and what's worse are geo-political surprises. The Saudis are scared, the Iranians crazy. keeping up with the news you can't get lazy. Don't get me started about Libya, and the next time bomb might be Nigeria. But it's not just war famine and disease, it's that new demand from those damn Chinese. (Oil) Black black gold. A commodity bought and sold. (Oil)Can't live without it. Though it brings us trouble no doubt about it. To me the problem seems clear enough We just don't have enough of the slick black stuff. But I'm American, dammit, I'm willing to fight, cheap gas to me is a natural right. Let's drill in the arctic, let's drill the sea. Drill until we've got enough for you and me. The pain at the pump is getting on my nerves. We gotta start tapping those domestic reserves. Oil's fungible, fool, it doesn't matter where it's found it's a commodity once it's out of the ground. Whether (it's) from Russia, Iran or the USA. The same standard prices are what we'll pay. But demand is dropping, inventory's swelling Supertankers full of crude are parked just chillin' CNBC says its price speculation I call it like it is - market manipulation So what you're saying is there's an oil price bubble And eventually the market will handle of our troubles. So I guess I shouldn't worry, I'll be staying calm, Worst comes to worst, we'll make some oil from palms. Price volatility is never good. Green energy's not ready, yo, it's understood. If oil prices soar when fundamentals are weak, the only ones winning are some hedge-fund geeks. Expensive oil raises costs across the board Beyond what normal consumers can afford And if the price of energy spikes and slumps The economy's likely to stay in the dumps. A tax on gas is Pigovian Economists left and right are lovin' it It's for acts with negative externalities Like burning oil or smoking weed In the short run oil demand's inelastic People really need time to change their habits You can change behavior when you make people pay And do it in a revenue neutral way. It's politically unfeasible that's the rub Why won't Americans to join the Pigou club? Jen-Jen I can't really feel what you're sayin' I've got a better idea that's not European. Strategic reserves? Time to crack that spigot. Open it up and let us just drown in it. (Oil) Black black gold. A commodity bought and sold. (Oil) Can't live without it. Though it brings us trouble no doubt about it. (Produced and written by Next Media Animation. Music created by K.Sveinson.)
