Nice little look into the mouth of the beast this morning. Crude oil is currently selling at around $55 a barrel, and we've heard some noise out of OPEC lately that they believe a "fair price" is around $80. What does this mean? Well, it means a price in which they can continue to extort undue influence over the world economy by cooperatively fixing prices.
I'm of a mixed mind on this subject, though. Reading that Canadian industry is slowing their oil shale extraction method because of the cheap price of crude reinforces for me the value of high prices in changing consumptive behavior. The only way we'll put these petro-thug terrorists out of business is to consume less and to find other ways to power our economy. I doubt whether the free market alone can deal adequately with a pricing and supply situation in which an entire world is dependent upon a diminishing single source of power.