Oil Pricing Realities

* Re “Oil-Hog Nations Look to Saudis,” editorial, Sept. 13:

If OPEC were to increase production to fit the consuming countries’ idea of “fair” oil prices, global oil consumption would continue to expand unabated because there would be no limit of supply at “fair” prices. You should add the words “arrogant” and “bully” to the description of the major consuming nations. The interests of the producing nations are involved in the supply/price equation, but why should they be forced to unfairly consider our interests over their own? If supply is the key to “fair” prices, then why are major consuming countries like the U.S. and states like California doing everything they can to limit new oil exploration and production in our own backyard?

We do need revised legislation to further reduce automobile and truck fuel consumption, but that is only a small part of the overall energy policy this country needs. That policy must also recognize that we must find and produce more domestic oil and natural gas. If we really want to defend ourselves against recessions linked to oil price spikes, I think we have to wake up and realize that $35-per-barrel oil is cheap in inflation-adjusted terms. We need to key our projections of future economic growth to the reality that these prices are likely here to stay.

JIM WALTON

Mission Viejo