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*The opinions expressed here are
strictly those of the owner, and do not necessarily reflect what any of our staff may also
believe. All of this is on my shoulders alone. |
May 2nd, 2006. A lesson in
economics. I have been frustrated with gas prices as has
everyone else in this country. Yet, I understand. There isn't
a vast conspiracy against us. Oil Companies are not gouging us.
True, their profits seem to be going up. Consider this.
Lets say their markup is 7 percent, and that 7 percent never
changes. If they pay 40.00 per barrel for oil, they make 2.80 per
barrel. Now, if the demand increases, and the supply does not
increase, oil is at 75.00 per barrel. They still make 7
percent, but now that 7 percent is 5.25. They have not changed their
profit structure at all. It is a matter of supply and demand.
Now let's look at demand. We are not the only country
demanding oil and using it at record pace. China is outpacing
us in it's consumption, and they buy from the same sources we do.
Supply is volatile. Prices spike when the supply gets
interrupted. Venezuela provides a good portion into the supply
chain, and there is unrest in that region. The hurricanes in
the south shut down refineries, which decreased supply. Less
supply, more demand, prices go up. What about gas prices spiking the
minute news is oil has gone up in price? The station owners
have to replenish their supply when they run out. If they bought
their last shipment at 2.57 per gallon, and priced it at 2.67 per
gallon, and they know the next supply is going to COST them 2.70 per
gallon, they need to raise the prices on their current supply so
they can pay for the next shipment. What brought this home was
talking with a customer who has dry good items they sell that cost
fluctuates all over the board. If they have 10 cans of beans they
paid 50 cents for sitting on the shelf, and it will cost them 80
cents per can to replace them once they are sold out, then they have
to raise the price of the existing stock to make enough to pay for
replacing them.
Finally, when we consider gas prices, let's
not forget the amount we pay per gallon in taxes. Are you
aware, depending on what state you live in, you could be paying
anywhere from 43 cents per gallon to almost 70 cents per gallon just
in taxes? Consider the economics. |
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May 5, 2006.
Never in my life could I be considered a conspiracy theorist. This
morning, however, I read an article from Reuters news service that
gave me reason to pause. Read through this. Twice.
Friday May 5, 5:07 AM EDT
By
Swaha Pattanaik and Marcin Grajewski
BRUSSELS (Reuters) - Big oil company profits caused a stir as EU
finance ministers met in Brussels on Friday after one minister said
the public seemed upset about the "big winners" of the crude price
surge that has sparked inflation fears.
Several ministers, however, dismissed any idea of a windfall tax on
profits of the kind announced in recent days by companies such as
Exxon Mobil, Shell, Total or BP -- ranging very roughly from $500 to
$1,000 per second for the first quarter of 2006.
"There seems to be a sort of irritation in public opinion,"
Jean-Claude Juncker, prime minister and finance minister of
Luxembourg, told a late-night news conference on Thursday after
chairing a working dinner with ministers from the euro zone.
The ministers' primary concern is whether the oil price rise sparks
inflation, after warnings by the European Central Bank that it would
not hesitate to raise interest rates further to keep such a threat
at bay.
"On taxation of oil company profits, as I said we are at the
beginning of a process. I can simply say we started this discussion.
I can say no more than that," Juncker said.
The comments, while vague, conveyed the idea that taxing the juicy
gains had crossed politicians' minds, although Juncker said on
Friday there had been no proposal on a windfall tax.
"We are not really there. We were asking oil companies if they would
invest in substantial refining," he said.
Slovenian Finance Minister Andrej Bajuk was enthusiastic, saying:
"Absolutely, yes. It would be marvelous to have a more active tax
policy ... there is a lot of income. It would be wise to take a
serious look."
But others were outrightly dismissive.
"We already tax oil profits," Dutch Finance Minister Gerritt Zalm
told reporters. "Why would you give higher tax for companies when
they make higher profits, and what would you do if it makes lower
profits?"
Austrian Finance Minister Karl-Heinz Grasser said a windfall oil
profit tax was "not realistic."
"I
think it's not really a proposal that has a big chance of being
implemented," he said. "If it is possible to have such a tax on a
worldwide basis, but I really state on a worldwide basis, then I
think we could discuss it."
Exxon, the world's biggest oil company, racked up profits of roughly
$1,000 a second in the first quarter, while Shell earned about $785
per second, BP more than $660 and Total roughly $550 a second.
WATER OFF A DUCK'S BACK
Ministers from the 12-nation euro zone were joined for the second
day of a regular Brussels gathering on economic policy by their
counterparts from the other countries in the 25-country European
Union.
On
Thursday, euro zone ministers sounded a decidedly more upbeat note
than usual on the region's economic outlook, saying recovery was on
track after a lull late last year, and in spite of high oil prices
and rising interest rates.
The ministers were joined for dinner on Thursday by ECB chief
Jean-Claude Trichet, hours after saying in Frankfurt that he would
have to raise official credit costs to avert inflation if growth in
the region continued at the current pace.
The ECB left rates unchanged at 2.5 percent but Trichet's comments
hardened market expectations of a rise in June.
Last year finished with a whimper as economic growth in the last
three months slowed to a quarterly 0.3 percent, half of what it was
in the third quarter.
Growth in Germany and Italy ground to a halt but now seem to be
picking up and monthly surveys have shown business activity at
five-year highs.
"The recovery is so strong that it probably won't matter much," Zalm,
not prone to making dramatic statements, said of oil prices that
recently topped $75 a barrel.
The International Monetary Fund last month forecast global economic
growth of 4.9 percent this year, well above the average annual
growth rate of the past 30 years, and raised its euro zone forecast
to 2.0 from 1.8 percent.
Those forecasts and new ones the European Commission issues on
Monday come despite the latest record in oil prices and a rise in
world interest rates after years of dirt-cheap credit.
"So far the impact has not been significant. We've seen a big rise
in oil prices and at the same time an improvement in the rate of
growth," European Economic and Monetary Affairs Commissioner Joaquin
Almunia said.
Almunia has until recently forecast 1.9 percent growth this year
after a dip to 1.3 percent in 2005 from 2.0 in 2004.
Hard figures on gross domestic product for the first three months of
this year are due on May 11.
©2005 Reuters Limited.
Now, here is my question for
the day. WHO is controlling what happens economically with
oil, and other natural resources that are bought and sold throughout
the world? I'm beginning to believe it just may not be "Big
Oil". Something is up. And we're not a part of it. Someone
bigger than you and me, bigger than this country, seems to have a
hand in control. Consipracy? Yesterday, you could not
convince me. Today? Let me read that report, again.
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April 30,2006.
It's the Kentucky Derby Festival week. Reminds me that everyone
needs playtime. Yes, that even includes me. I've enjoyed working
with a very loyal group of clients, and want to welcome those who
are just joining me. After getting so immersed for the past 3 years
in making work my life, I am getting back out and seeing the world
around me again. Are you doing the same? Stop putting your
life on hold waiting. I'm going to be traveling around the
state on the weekends, doing something I haven't done for years-
take pictures. And I'll be sharing with you at
http://im.theregisterstore.com/albums/album_1.htm.
Enjoy life! |
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March 4-2006. Last week I began a journey to help
me understand the alcoholics and addicts around me, and how they
affect my life. There are a lot of people hurting out here. So many,
it is heart-wrenching. Who should we feel the most hurt for?
The addict? The alcoholic? Or the friends and family
that stick behind them? My grieving is too early and too deep to
really put a lot into words at the moment. But I want to put
my words out here in the hopes even one person may find a way to a
healthy recovery, perhaps a restored marriage, maybe a recovery from
an addiction. I had been very very naieve, and I did not see signs around me. It doesn't lessen
the pain any.
Join me, will you, as I share what I
find.
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I really got a
chuckle out of this:
A Florida senior citizen bought a brand new
Corvette convertible. He took off down I-75, speeding at 85 mph,
enjoying the wind blowing through what little hair he had left on
his head.
"This is so great, just what I thought retirement
should be," he thought, as he roared down the highway. He pushed the
accelerator a little more. Ah, the feeling was electrifying. Then he
looked in his rear view mirror, and discovered a Florida State
Patrolman right behind him, red & blue lights flashing, and siren
blaring.
"I can get away from him with no problem,"
thought the old man, so he pushed the gas pedal all the way to the
floor, and flew down the highway at 100 mph. Then 110, and 120, 130
and 140. "WOW, if I was only young again," he thought.
Then all of a sudden, a little voice inside him
started talking to him, "What are you doing? You're too old for this
kind of thing." So he pulled over to the side of the road, and
waited for the officer to catch up with him.
The officer pulled in behind the Corvette, and
calmly walked up to the driver's door. "Sir," he said, looking at
his watch, "my shift ends in 20 minutes. If you can explain why you
were speeding away from me, with an excuse that I've never heard
before, I'll let you go."
The man looked at the officer and said, "Ten
years ago, my wife ran off with a Florida State Patrolman, and I
thought you were bringing her back."
"Have a good day, sir," said the officer.
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01/22/06:
This is a new year, and I finally have a moment to comment. I have
had to evaluate what I have done with my business, and how it has
been run. There are those of us out in the world that battle
between greed, growth and possessions, and the other side of being a
"tentmaker" - focusing more on what we do with our time. Ah, the
battles of the mind and soul. Perhaps circumstances dictate how we
react deep within our being. These past few months have brought a
new and diverse group of people along my path. One good, close
friend, turns out to have a drug addiction. In the course of
understanding the actions this person takes, I have spent much time
out here on the internet reading. The stories I read, the people I
talk to, causes my heart to cry out. Is it any wonder, when
pondering situations like this, that we take a look at our own
selves and our motives?
I have recently begun adding
short inspirational messages and meaningful verses from the Bible on
my voicemail. One person questioned me, asking- don't you think you
are being a bit "preachy"? My answer to that, is it also holds
my feet to the fire. I don't want to be a hypocrite. Now, if I
share a message that "The Lord directs my path", and I am out
dealing with people in a dis-honorable way, doesn't that make me a
bit of a liar?
This year I
want to reach out more. It's more than a 12 hour day 6 days a week
just to make money proposition. It's time to take time. Perhaps one
day our paths may cross. Until then, have a peaceful and content
journey! |
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12-22-05:
Merry Christmas everyone! This is the season for giving. As I
sit here thinking about what to write, I ask myself "why haven't I
given more?". How much effort does it take to take a few moments and
reach out to someone? We have become so politically correct, we are
afraid of alienating anyone. But if we reach out in the true spirit
of Christmas, how can we offend? Political Correctness is turning
our small businesses into clones. Where is the diversity?If you walk
up to me and wish me a Happy Hannakuh, I welcome this exchange, even
though I may not believe the same way you do. But I do believe in
our right in this country to express our beliefs without being
dogmatic about it. Yes, this is a holiday. What holiday is it?
CHRISTmas! So I will continue to wish each and every one of you, a
very Merry Christmas.
This has been a very trying year,
and many changes have occurred. I have learned that you are more
important than me. So I reach out and say thank you, peace be with
you, and Merry Christmas!
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I take my
business very seriously. I am thankful that we have the opportunity in
this country to be allowed free enterprise, where each and every one of
us can decide who we want to do business with. There comes a time when
we can no longer keep our values to ourselves, in order to preserve what
we feel is right and just, we must make our voices heard. Right or
wrong, left or right, whether you agree or not, be heard. I make no
apologies if what I say here may offend you. If so, peace be with you as
you move on. I believe in giving the best of ourselves no matter what
walk of life. For me, this means striving for what is best for my
clients, treating them fairly, giving the best value for the money. I am
but one person, and those who do business with us are part of our
success, without them, we are nothing. For that, I thank each and every
person who continues to allow my company to take care of the needs we
specialize in. |
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"Great
ideas come into the world as gently as doves. Perhaps, then, if we listen attentively, we
shall hear, amid the uproar of empires and nations, a faint flutter of wings, the gentle
stirrings of life and hope. Some will say this hope lies in a nation; others in a man. I
believe, rather, that it is awakened, revived, nourished by millions of solitary
individuals whose deed and works every day negate frontiers and the crudest implications
of history....Each and every man, on the foundation of his own suffering and joys, builds
for all" -Albert Camus |
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"Half
of the harm that is done in the world is due to people who want to feel important"-
T.S.Eliot |
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"When
you don't know what you want, you often end up where you don't want to be"- Bob
Greene, Keep The Connection |
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"When
love is your greatest weakness, you will be the strongest person in the world"-Garman
Wold |
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Call us locally - 502-454-3727 (Louisville KY) |
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