White House press secretary Karine Jean-Pierre on Sunday responded to criticism from Jeff Bezos over President Biden’s call for oil executives to lower gas prices, saying high gas prices are emblematic of a “market that is failing the American consumer.” .
News Movement: After Biden tweeted Saturday repeating calls for oil companies to cut prices, Bezos responded by tweeting, “inflation is too important an issue for the White House to keep making statements like this.”
- “This is either misdirection or a profound misunderstanding of fundamental market dynamics,” Bezos added.
- “Oil prices are down about $15 in the last month, but gas station prices have barely budged,” Jean-Pierre responded via Twitter. “This is not a ‘major market dynamic.’ It’s a market that’s failing the American consumer.”
- “But I guess it’s no surprise that you think oil and gas companies using market power to extract record profits at the expense of the American people is the way our economy should be running,” she added.
Current Status: Although crude oil prices have fallen, it is not unusual for gas prices to take some time to reflect the change.
But, but, but: The price of crude oil isn’t the only factor that goes into determining pump prices, and oil companies have a limited role in setting final retail prices, according to the Dallas Fed.
The big picture: The Biden administration has tried several strategies to mitigate rising gas prices, including releasing oil from the Strategic Petroleum Reserve, relaxing E15 gasoline rules and calling for an end to the federal gas tax, which Congress did not do.
Add Comment