Letter: Gasoline prices bound to affect political race

Monday, June 7, 2004 | 9:22 a.m.

On the Internet, I found a study by a group of economists concluding that these prices are hitting the lower- and middle-class workers very hard. For example, a two-parent working family with two cars is suffering gas price shock to the tune of $12 per car per week, or about $100 a month.

Now, bear in mind that the middle-class family described above received less than $300 in tax relief from Bush's big tax giveaway to the rich, who can easily afford the current high prices of energy.

When Clinton faced high gas prices he tried to talk the OPEC nations into lowering the price of crude, which they finally did when he opened the Strategic Oil Reserve after the Republicans urged him to do so.

Today, Bush will not open the reserve nor lean on Saudi Arabia to give us relief. It is my prediction that before the election, Bush will "suddenly" get the Saudis to respond.

But remember that when crude oil reaches high price levels, the price at the pump rises immediately. On the down cycle, however, it takes several weeks before you and I see prices begin to fall.

JAMES J. POUPARD