Foreign Affairs on Oil Speculation

This is as cogent an explanation of the purposes and benefits of speculative forces in the energy market (or any market) that I have read.

With high gasoline prices across the United States, the knives are out for speculators in the oil market. Speculation is an easy scapegoat, but it’s the wrong one. If anything, speculators help energy prices respond to shifts in supply and demand, benefiting producers and consumers alike.”  Link

Advertisements
Tagged , , ,

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: