‘Shockingly Naive Price Theory’: Media Blasts Biden White House for Dubious Gas Price Claims
The Biden White House has been under fire for months for making dubious claims about oil markets and why gasoline prices are so high. Here’s the latest example from White House Economic Advisor Heather Boushey, who couldn’t answer the very basic question from a Bloomberg reporter of who is advising the president on gasoline prices.
Probably the most astounding interview I’ve seen in a while.
“You didn’t answer his important question… Who is advising the president on shockingly naive price theory over a gallon of gas?”
— Financelot (@FinanceLancelot) July 7, 2022
The question was prompted by the President’s tweet over the Fourth of July weekend where he implied gas station owners are price gouging consumers. But as Energy In Depth noted, that “product” is crude oil, which drives the price of gasoline, as the Energy Information Administration explains:
“Retail gasoline prices are mainly affected by crude oil prices and the level of gasoline supply relative to gasoline demand. Strong and increasing demand for gasoline and other petroleum products in the United States and the rest of the world can place intense pressure on available supplies.”