On Fri, 29 Apr 2011 13:01:35 -0400, Wayne B
wrote:

On Fri, 29 Apr 2011 11:01:18 -0400, Harryk
wrote:

As an example, and as something in addition to a national energy policy
which we do not have, we could easily form an international consortium
of *Non* Oil Producing Nations (even though we and others who might sign
up still produce some oil).

By doing so, the new consortium could peg the price of food, medicine,
technology, exports, et cetera, to the price of oil. Oil goes up a
dollar a barrel? Wheat goes up $2 a bushel. A Saudi wants some
life-saving drug made in Canada? Instead of $50 a a dose, it is priced
at five times the price of a barrel of oil...for Saudis.

History has repeatedly shown that governmental attempts to regulate
prices are largely an excercise in futility. The most frequent
outcome is that market dislocations and shortages develop. That's why
I maintain that expensive oil is better than no oil. Over time,
market forces on both products and currencies get the job done.

That's only partially true. While price controls themselves don't do
much, regulation does. Actually, that's what OPEC is all about.. price
controls. While not perfect, they do have a stabilizing effect.