Gingrich said he could bring down gas prices, and Obama has been making fun of that. Well, Gingrich is right and Obama is a liar.
Two things:
1) “Blends”. Currently, regulations require many different “blends” of oil for many different areas of the country, based on ridiculous environmental studies. Because of this, many areas can only get their oil from one refinery that is set up for that unique blend. When disruptions occur, prices go up, and due to the aging refineries, disruptions occur all the time. Obama has the authority to suspend blend regulations so everyone uses one blend, refineries make one blend, and then competition can ensue and outlets can buy their oil wherever they want. (Bush actually did this for a while after Katrina.)
2) If Obama starts letting loose of oil drilling permits and builds the Keystone pipeline, speculators in the market will start driving down prices based on what they will assume to be future supplies.
Each of these measures will account for approximately a dollar in reduction each. This is why Gingrich was telling the truth, and this is proof that Obama had been lying when he says there is no magic bullet.
And if that isn't enough, gas taxes could be cut too.
