February 28, 2008
Posted: 05:42 PM ET
CNN

Watch CNN's Ali Velshi take a look at how rising oil prices are affecting people in Texas.

SAN ANTONIO, Texas (CNN) — Traveling around Texas this week with the CNN Election Express, we've been talking to voters and have found the state of the economy to be one of their primary concerns. High gas prices are cited by many as a major burden, and a contributing factor to the general economic slowdown.

But in Texas they produce oil, so high oil prices are an economic benefit to some of the people here.

CNN Senior Business Correspondent Ali Velshi takes a look at some Texans' complicated relationship with record oil prices.

– CNN's Wes Little 

Filed under: Texas


Amy in Iowa   February 28th, 2008 6:52 pm ET

I wonder how much that bus is paying for gas on average per day?

Darth Vadik, CA   February 28th, 2008 6:55 pm ET

We have gas reserves highest we have had in this country in the past 14 months, plus we are exporting oil to the oil rich Nigeria. I thought if we had excess oil in this country the prices would be lower.

At the same time Exxon-Mobil has record setting profits.

I don't even want to hear about the value of the dollar excuse.

Can any one tell me how this is not extorsion, and how come some people are not in jail?

Teresa in Kansas   February 28th, 2008 6:59 pm ET

Bush is an oilman from Texas, so how "complicated" can it be…hmmm?

Sukie   February 28th, 2008 7:16 pm ET

Why aren't the oil companies REQUIRED to spend a percentage of their BILLIONS of dollars in profit they are making off the peeps to build new refineries????

Who has the power to require this?

Steve, PA   February 28th, 2008 7:16 pm ET

Get used to it, if McCain is president. Nothing will change.

O/08

Dani   February 28th, 2008 7:20 pm ET

I live in Texas, and gas is outrageous right now in contrast to what most people make in a year. I am thankful that I work from home or I would not have enough money to put gas in my tank to get to work and back being that I live in a suburb of Houston. The gas prices have gotten really out of control.

Tiffany   February 28th, 2008 7:21 pm ET

What country is the current president living in, to say he has not heard about $4 a gallon gas, too many vacations or is he the "CHILD LEFT BEHIND" ?

Jose Felix   February 28th, 2008 7:23 pm ET

I haven't even researched it, but I bet that gasoline and oil prices took record jumps only after a Bush got elected into office.

With all of their Saudi and Texas oil buddies benefiting it's not hard to put two and two together. I hope Obama does an investigation when he's President. I'm sure it won't be a much different outcome than Cheney hooking up his buddies at Halliburton with an 18 Billion $ contract for Iraq.

My advice is invest all of your money in oil companies and sell when Bush leaves office.

Vig   February 28th, 2008 7:25 pm ET

We have had a Texan in the White House for the last 8 years - Texas what do you have to say for yourselves?

Fred Evil   February 28th, 2008 7:31 pm ET

And while this is going on, The Dread Pirate Roberts, appointed to lead the Supreme Court's charge against the American People, is of the opinion that 2 1/2 weeks of profit for Exxon is TOO MUCH for their destruction of MILES of Alaska's coast after the Exxon Valdez disaster. 35,000 Americans have suffered from that disaster, and Bush's lackeys can't bring themselves to do anything about it, 17 YEARS later!

Thank you Mr. Bush, for everything you've done to destroy Americas way of life and happiness. Can you just leave now please?

Ron   February 28th, 2008 7:32 pm ET

Forget the oil if you vote for Hillary Clinton.She will make them pay and tell them to straighten up or be shaken up and a vote for Obama will gain more pain

Diana King   February 28th, 2008 7:34 pm ET

God help us if Obama or Hilary get into power. when they get through raising taxes , We won't even think about gas. I did a research on Bush he has the most conservative home in Texas that using the least about of enegery
I beleive the oil companies are bigger than any american can imagine and has more power than the President

Diana fromCalifornia wanting to move to Texas

Rob   February 28th, 2008 7:40 pm ET

Don't get me wrong here, i hate the high prices too, but the reality is this…

If people are so obsessed with driving their SUV's then the demand on oil isn't going to drop. If the demand is this high, then they'll charge higher prices for the oil. It doesn't matter how much we have in reserves and how much we export to Nigeria, nor how the dollar is struggling against foreign currencies. If they can get people to pay it, and people still pay it, then they'll charge for it.

If a gallon of milk becomes 5$ each, and we all need milk, and people continue to pay for it, then what's the crime? Yes, the oil companies are making a killing, but they can, because our society is too stupid to catch on to the fact that diesel gets 30% more efficiency and is now cleaner burning then regular gas.

It's society's fault, not big oil, not government, but US!! we're to blame, cause we're too greedy of a society and we just expect things to be cheap. if we don't regulate ourselves, then don't expect washington to do it for us…

Oil-less in Texas   February 28th, 2008 7:44 pm ET

The President has made sure that the stock portfolios of his cronies and family members are well padded…but the average working guy or gal here is hurting at the pump, at the supermarket, with the utilities…
They are giving huge tax abatements to Exxon, Shell, etc…to do almost anything they wish with. Yet they refuse to fix NAFTA.
Gonna be tough for ANY political party/individual to turn this around any time soon.

Interesting   February 28th, 2008 7:44 pm ET

I don't believe in conspiracies, but I believe that businessmen take advantage of opportunities. It's no coincidence that oil is 3 times higher than before GW Bush. And no coincidence he's against raising taxes on oil companies. I'm also certain, he, like his father will be making money after his presidency as an advocate for oil interests.

tom   February 28th, 2008 7:45 pm ET

Beware the obama haters who call themselves democrats and Clinton admirers. They are not Democrats and they are not Clinton supporters. They are vehement right wing haters and Rush limbaugh advocates.

Ron Az   February 28th, 2008 7:48 pm ET

You can't expect the government to force them to build refineries or lower the prices, The oil companies own the Government.
Can someone explain to me how we vote a normal person into the Senate, congress, or the whitehouse and in 4 years they are millionairs? I thought they only made like 80,000 a year! How does the magic happen?

maynard   February 28th, 2008 7:50 pm ET

post my opinion on this if you have the guts to do it

JOHN   February 28th, 2008 7:50 pm ET

OIL PRICES GO UP, BUSH GETS RICHER.

aware   February 28th, 2008 8:10 pm ET

Hillary the HOPE of 08 - she has the will and the brains to do the job.

If not Hillary, then vote for McCain! :)

George   February 28th, 2008 8:29 pm ET

What is surprising id President Bush said he had not heard about $4.00 gas until to day. I wonder were he as been ? On cloud 9?

Ken, Plano, TX   February 28th, 2008 8:30 pm ET

It's not extortion, it's an auction with everybody betting on higher prices next month. The same thing that happened to technology and housing is happening to the price of oil: the market's being driven by speculative greed and an excess of available money.

It must be tough on the oil speculators, having too much money; where might they be getting it? Could it be that oil profits are being systematically rolled back into the commodities market, to keep the price climbing?

Gary   February 28th, 2008 8:31 pm ET

Why do you think Bush hasnt really cared about going after Bin Laden? Ever watch farenhieth 911 ? They have been buddy's for yrs ,if you believe the dvd is the facts.I do. I guess were all going to have to go back to horses and wagons.Maybe the Gas Company"s etc. will get the hint.

Alice   February 28th, 2008 8:32 pm ET

Texans, you can redeem yourselves - just do the right thing and vote for Hillary.

Surely you don't want to be responsible for an inexperienced disaster (who, in the long run, may be maybe even worse than airhead Bush).

Can you just PICTURE Obama debating McCain:

"Um, yeah, I agree with everything McCain just said. I know about foreign relations and stuff. Man, I read the papers. And you're just being racist anyway. Can I recite my change hope unity speech now?"

OMG - it would be HYSTERICAL if it wasn't so serious!

Sandra   February 28th, 2008 8:32 pm ET

Republicans are voting for Obama and mudslinging Hillary and the media has been highly biased against Hillary. No wonder the election is skewed. It really does not represent the people. The media is getting big money from Obama camp from BIG DONORS. The republicans have been calling it "Stop Hillary Express". They are not patriotic and is outright dangerous. Democratic voters have fallen to their ploy. Obama is dangerous, misleads and plagiarizes speeches. Hillary doesn't put other countries ahead of America and properly respects the flag during the pledge of allegiance.
Be smart. Use your best judgment and vote for what is best for America to the best qualified candidate Hillary’08. Be patriotic.

The Force   February 28th, 2008 8:33 pm ET

It was always said that the devil would have a million followers and charm everyone into thinking he's the guy to change the world. And change it he will. This is what you're voting for if you vote Obama

fair tax in la.   February 28th, 2008 8:33 pm ET

WHY DON'T THE LIBS LET US DRILL?
ASK YOURSELVES THAT FOOLS!!

Frank   February 28th, 2008 8:37 pm ET

Enough already in profiling Clinton's so called 66% of the Texas latino voters. Why hasn't there been one feature by one of the Best Ploitical Team members on the 80+% of blacks supporting Obama. Afraid of getting a backlash that the poor Latinos are to timid to mount?Enough already in profiling Clinton's so called 66% of the Texas latino voters. Why hasn't there been one feature by one of the Best Ploitical Team members on the 80+% of blacks supporting Obama. Afraid of getting a backlash that the poor Latinos are to timid to mount?

V   February 28th, 2008 8:42 pm ET

Vig: "We have had a Texan in the White House for the last 8 years - Texas what do you have to say for yourselves?"

We're sorry.

ToddT   February 28th, 2008 8:43 pm ET

We are not in recession, but Obama reacts to Bush's comment about $4 a gallon gas by stating that we are in a recession. Not surprising, Obama does not even know the definition of a recession. An Obama nomination will crash the market, and send the US dollar into its final free fall as worthless currency. It is amazing how similar Obama is to Bush as he runs for the party’s nomination, they were/are both are praised by the media during their primary campaigns when their campaign premise is by far the most overall inexperience, naivety with regards to the economy, lack of foreign relations knowledge and inferior judgment, and most importantly, a component of the tactical GOP process of disenfranchising the Democratic voters by interfering with the election process.
The GOP has recruited “Crossover Voters” or Obamacans against Hillary in open primaries and the GOP decided to move up the Florida “closed” primary – to disenfranchise the Florida Democrats – both of which would have given Hillary Clinton a substantial lead in delegates and given the momentum to Hillary. Hillary supporters will have to unit to the greatest extent, but still may not be able to win against GOP recruited Republicans against Hillary. The Republican transition is going to be successful with an Obama nomination as the temporary GOP voters will vote as Republican again in the General Election. However, I trust the Automatic Delegates will see through this underhanded GOP tactic and post their vote for Hillary Clinton for the Democratic Nomination, after she wins Ohio and Pennsylvania.

Emily   February 28th, 2008 8:48 pm ET

Is it true? Was Obama ever sworn in to any office using the Koran?

Dan (TX)   February 28th, 2008 9:01 pm ET

Yep, always blame the oil companies. Never mind that they are only making about a 15% profit on their product - actually below average for most major US corporations.

The real problem that no one seem to want to talk about is the DECLINING DOLLAR. Not too long ago the Euro and Dollar were about equal in value - today it takes about $1.47 to buy 1 Euro.

Just think if the 2 currencies were equal today (in terms of purchasing power), every product imported would only cost 68% of its current dollar price. Instead of $100 / barrel of oil it would be $68 a barrel. Gasoline would not be nearly as expensive. Instead of $3/gallon it would be $2.04/gallon. Pretty depressing isn't it?

The real blow to American prestige is when Oil and Gold are priced in Euros instead of Dollars. Get ready - it'll happen sooner than you think if the Fed keeps dropping interest rates.

The US can't afford to keep sending $400 billion a year to oil exporting nations. The world is awash in "petrodollars" - not the US oil companies.

Until the US weans itself off imported petroleum and takes steps to strengthen the dollar, the US economy is in for a rough ride. Can you say "second world" nation?

Charlotte   February 28th, 2008 9:08 pm ET

Where is Exxon exporting oil to? I understand they export it, but I'm not sure.

ryt   February 28th, 2008 9:13 pm ET

"But in Texas they produce oil, so high oil prices are an economic benefit to some of the people here."

This is very true. My family has owned an oil co and had oil interest for a century and I've always thought the same thing. Some of them complain about the price but I know they are getting residual checks. Then when it's reversed they don't like that the checks are smaller.

I always just look at it as it's balancing out for me in the long run.

Willy   February 28th, 2008 9:15 pm ET

As long as the democrats continue to stand in the way of building new refineries and drilling in America so we can meet the demands of America's fossil fuel needs then we will see the prices rising as they, the democrats in congress, bow down to the Middle East.

R. in Missouri   February 28th, 2008 9:23 pm ET

Gas prices are simply the result of supply and demand. There is no price gouging in a free market. The producers are simply charging a price that allows them to make some profit, while making sure that this price is one which people are willing to pay.

Demand is high due to the types of vehicles that people are driving. If people want to whine about gas prices, they need to trade their Expedition/Tahoe in for something more fuel efficient. Otherwise, simply continue driving what you want, or just take the bus. It's that simple.

Oil companies are being unfairly attacked. They are just trying to survive in a competitive market, and their employees need to put food on the table just like the rest of us. Give them a break!

Lucky   February 28th, 2008 9:42 pm ET

Frank.. I'm a Latina woman, and I would not vote for Obama. I'm not afraid of any backlash. I believe your comment about Latinos being timid is very insulting. Hillary all the way 08.

Bayou Joe   February 28th, 2008 9:45 pm ET

It's Bushes Fault. It"s always his fault. Blame, Blame, Blame. Bush did this. Bush did that. He must be one powerful guy. Did it all by himself. Maybe its your fault for not getting an education and earning more money so you could afford the price of gas. Europe is paying $7.00 per gallon. Our gas is cheap and the oil companies producing it in Texas pay more taxes in one day than you do in 10 years.

Anonymous   February 28th, 2008 10:05 pm ET

WE KEEP BUYING, THEY KEEP SELLING. PERIOD

Mothers in Ohio For Obama - MOFO   February 28th, 2008 10:13 pm ET

Mothers in Ohio For Obama - MOFO - strongly believes that Obama will UN-complicate this oil dilemma!

OBAMA '08

Recession-proof spoof   February 28th, 2008 10:19 pm ET

Gas is $4 a gallon and the U.S. economy is headed on a downward spiral. Evacuate now and support China.

Gym Jones   February 28th, 2008 10:21 pm ET

Gas prices are simply the result of supply and demand. Simply make your own gas and supply your own demand. Be self-sufficient, people. It's really that simple. Think about it.

jp/michigan   February 28th, 2008 10:23 pm ET

It is time to use other fuels besides oil. We only have this one earth to take care of and I believe it is time to do so. Oil companies make more than their share of profits. They should be the ones building new refineries, and developing new fuel instead of gas with the monies made from American buyiers. Green jobs is the way to help the environment and cut us from outside American oil needs.

Gym Jones and Nose-job Bob   February 28th, 2008 10:24 pm ET

Create a self-funded, independent Deportation agency, boost the economy and win !!!

edumacated   February 28th, 2008 10:25 pm ET

CNN doesn't have the courage to print the truth: the economy is weak.

Hillary 08   February 28th, 2008 10:38 pm ET

Add me to the GROWING list of protest votes going toward McCain if Hillary is not the democratic nominee. Poor Obama will lose half of the democratic base during the general.

Jed in Texas   February 28th, 2008 11:02 pm ET

The selfdelusion of some of you has reached epidemic proportions.The greater depression is on the way.

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