How can an economy that depends upon the buying/spending habits of 300 million individuals be rigged?
No, I honestly do not have an issue with the so-called Enron loophole. What is an Enron loophole? My understanding is that bad management practices caused a major corporation to decline and as it did, Enron executives and their accounting firm falsely inflated earnings and underreported expenses, and sold their stock, until they could hide the problem no longer. The CEO died before he went to trial and several major executives lost their fortunes and were sent to prison. It is sad that many Enron employees lost their savings but that is human nature. Some people are simply unable to resist the temptation and some are fundamentally dishonest. The only difference between a corporate executive who steals from his company and an ordinary citizen who purchases, uses, damages, then returns merchandise to Wal-Mart for a refund is the size and scope of the dishonesty. Both acts are immoral and illegal. For Enron employees, any financial advisor will tell you to diversify your investments. If they had their entire nest eggs invested in Enron they made bad decisions.
I have heard rumors and conspiracy theories about traders influencing the price of crude oil imports and do not know if they are true, or false. I do not accept the premise that one trader could have such a large influence on a segment of the economy amounting to billions of dollars. It really is not that difficult to understand. Increased demand for crude oil due to higher consumption in the US and the growing industrialization of India and China combined with uncertainty in the middle east has caused the price of crude to rise from something like $40/barrel just several years ago to $100/barrel now and the US dollar has declined in value so it requires more dollars to buy. Why do so many refuse to accept that? Everybody knows that if nobody wants to buy your old used up Dodge-Cummins it is not worth much but, on the other hand, if ten people are trying to talk you into selling it to them to pull a trailer to start a landscaping business, your Dodge is worth more money to the buyer. It is simple supply and demand. It is nothing more than human behavior.
I don't like high prices any more than anyone else but it is a reality. I'm not going to criticise America because diesel is $3. 35/gallon and not going to dream up amazing conspiracy theories to explain it like some. I'm sure as heck not going to propose nationalizing the oil industry or any other industry because I feel entitled to health care, cheap fuel, or cheap goods and services. Free enterprise determines the price unless government steps in and screws up the market.
Harvey
Harvey