Larry Kudlow, the financial whiz, was on the Joe Scarborough show on MSNBC today. He repeated his unending mantra of "drill, drill, drill," as a way out of the current wilderness of high priced crude.
His insistence on this simplistic solution to the short term price situation has never made a lot of sense to me. Kudlow is a smart man. He gets around enough in the right circles to know that short term traders in oil futures are the fire behind the crude prices we see now.
When pressed by one of the hosts on the show to explain how favorable congressional action on drilling both on and off shore would affect the price in less than several years, he "came clean."
"Ah," he said (roughly). "Approval of drilling will frighten the futures traders out of the market and the price will go a long way down." "They are already leaving the oil futures market" he went on. "This will push them out even faster."
Need I say more? pl