MSNBC’s Chris Hayes, MSNBC’s opening monologue on Wednesday’s All In defended President Biden’s decision to raid Strategic Petroleum Reserve because gas prices must be lowered to save American democracy and their allies in Saudi Arabian and fossil fuel companies.
The SPR exists to provide oil infusions in an emergency. But for Hayes it exists to save him. “You know, there’s not much that American presidents can control gas prices. Even though their political fate often hinges on whether they go up or down. They do have one trick. It’s called the Strategic Petroleum Reserves… A kind of emergency source to prevent the U.S. having to deal with a sudden shortage, which is exactly what we’re facing now.
Hayes attributed the recent rise of prices to OPEC’s decision not to cut production. This, along with Russia’s invasion, forced Biden to act. “And so, President Joe Biden decided today to pull a lever. He said he would release 15 million barrels from his strategic reserves to lower gas prices.
Although gas prices had been rising well before February, Hayes acknowledged that Biden’s move was completely political. “And yes, it is a pretty transparently politically motivated move on the part of the President. This is because gas prices have been historically a driving factor in U.S. political life.
After playing a montage with presidents from both parties being criticized over high gas prices Hayes claimed Republicans want high prices. “Republicans for themselves are pretty mad at Biden’s decision because of course, it’s not lower gas prices that they want, they want to be in a position to attack Democrats about the price of the pump. There is good reason for this. There is strong evidence that the price of gas is a key factor in President’s approval ratings.
Biden is using SPR to his electoral advantage. Republicans are mad. Hayes also almost accidentally discovered the truth: “And while both Presidents have struggled with the problem, right? You’re held responsible for it. It is much harder for Democrats than it is for Republicans to tackle it. And that makes sense. Republicans are a party of oil companies and drilling baby drills. They don’t care about the environment. They deny it. They waved their hands.
Hayes argued that the Saudis are the Saudis because Democrats care about Jamal Khashoggi. He also “wants climate change to be stopped, which would mean the end of fossil fuel burning.” This isn’t a difficult case, right? Saudi Arabia, OPEC and oil companies are not eager to ensure that prices remain low before an election in which Democratic candidates are vulnerable. Saudi Arabia may also want to announce a sudden cut in oil production just before the midterms.
Hayes stated that all of these factors were important and that Democrats cannot just say “Of course, Democrats don’t have to throw their hands up and tell us, “Ofcourse, Democrats can not just throw our hands up and say, “Ofcourse, Democrats can’t just give their hands up because the future American democracy is in as long as we report night after night on this program, real danger, existential danger.” One of the major parties is currently under the control of the man who attempted a violent coup but failed and has now declared he’d do it again.”
Maybe Biden could have better energy policies and been a better diplomat to lower prices without needing to raid the emergency stockpile.
Tide sponsored this segment.
Here’s a transcript from the October 19th show:
MSNBC All In with Chris Hayes
10/19/2022
8:01 PM ET
CHRIS HAYES: Good night from New York. Chris Hayes. Although they can do a lot to control gas prices, the fate of American presidents is often dependent on whether they go up or down. They do have one trick. They have hundreds of millions of underground barrels of oil, and there is an enormous stockpile of oil barrels along the coasts of Texas and Louisiana. It is known as the Strategic Petroleum Reserves.
It’s a common misconception that accounting is a popular topic. It’s not. It’s a reserve of oil we keep in caves. After the Arab oil embargo, we started stockpiling oil barrels as an emergency source to prevent the U.S. having to deal with a sudden shortage. This is exactly what we are dealing with right now.
Earlier this month, OPEC, a Saudi-run oil cartel, announced that it would reduce production by two million barrels per day. Gas prices are already high, but this would cause prices to skyrocket even more. This is similar to the one we witnessed right after the Russian invasion. This is because there are only 20 days until the Midterm Election. It can make a big difference in the outcome.
As wild as it may sound to say, the fate of American democracy is largely determined by these tiny numbers you see at gas stations across America. Today, President Joe Biden pulled a lever. He announced that he would release 15 million barrels oil from his strategic reserves in order to lower gas prices.
(BEGIN VIDEO CLIP).
JOE BIDEN – Gas prices have fallen each day over the past week. I repeat, gas prices continue to fall and they come down again. They are down by more than $0.27 per gallon in Wisconsin, $0.16 in Ohio and $0.25 in Nevada in the past week. Other expenses are cut when gas prices rise. I have done everything possible to lower gas prices.
(END VIDEO CLIP).
HAYES: This is a very transparently political move by the President. This is because gas prices have been a driving force in American politics for years.
(BEGIN VIDEO CLIP).
IRVING LEVE [SEPTEMBER 25, 1979] Senator Kennedy stated that the state economic will play a major role in his decision to challenge President Carter. According to Democratic officials, Senator Kennedy may be influenced by today’s inflation numbers. These figures include gasoline at a cost of 3.7 cents per gallon last month and 28.2 cents per gallon so far this fiscal year.
REPORTER: Politicians smelt not fumes, but opportunities. Republicans demanded the repeal of the 1993 Democratic Congress imposed 4.3 cents per gallon federal tax.
BOB DOLE [APRIL 29 1996]: We need a way to help the driving public.
UNIDENTIFIED MALE [MAY 18 2004]: Democrats are coordinating an attack on high gas prices, and the President’s response.
JOHN KERRY (MAY 18, 2004): The highest prices we’ve ever had in this country, on average, and where’s our president?
TERRY MAULIFFE [MAY 18 2004]: It’s now that Bush can be a reality.
RAHM EMANUEL: July 2001. Buck 33. It has more than doubled during the five years President Bush and Dick Cheney were in government.
(END VIDEO CLIP).
HAYES: Republicans are furious at Biden’s decision. They don’t want lower gas prices. Instead, they want to be able attack Democrats on the price of the fuel. There is good reason for this. There is strong evidence that the price of gas is a key factor in President’s approval ratings.
A 2016 study analyzed data from 1976 to mid-2007 and found that a ten cent increase in gas prices would result in a 0.60 percent decrease in approval for the incumbent President. In other words, a President loses 3 points of approval if gas prices rise by 50 cents. Six points are lost if gas prices rise by $1. This is huge in our polarized electorate. Especially elections are lost by six points. This is the difference between 10 and 30 seats, and a lot of Senate seats.
There is now a lot of evidence that this is a serious issue for President Biden. Analysis from the Washington Post, the New York Times and left-leaning pollster Data for Progress show a correlation between Biden’s approval rating, gas prices, and other factors. While both Presidents have struggled with this issue, right, you are held responsible for something you can’t control. It is much more difficult for Democrats than Republicans to address it. Because, for one, the big oil companies love Republicans.
Open secrets, which tracks money in politics and finances, claims that Republicans have received more than two-thirds (or more) of the contribution from the energy sector to candidates and party committees since 1990. This makes perfect sense. Republicans are the party of oil companies and drilling babies drills, and they are clearly the party of fossil fuels. They are also the party that will burn the earth to ashes with all the oil, coal, and gas beneath it. They don’t care about the climate. They deny it. They waved their hands.
It’s also the reason why Donald Trump’s Secretary Of State Mike Pompeo was perfectly content to travel to Saudi Arabia to clad his hand, smile, and joke with Crown Prince Mohammed bin Salman (MBS), two weeks after MBS ordered Jamal Khashoggi’s murder. His goons hacked his body with a bonesaw.
(BEGIN VIDEO CLIP).
MOHAMMED BIN SALMAN – How was your trip?
MIKE POMPEO : It was good. Uneventful.
BIN SALMAN : Well. I hope you don’t have jet lag.
POMPEO: It will take a while, but so far so good. Thank you for hosting me at such a short notice.
BIN SALMAN : We are strong and long-standing allies. We will face our challenges together. The present, tomorrow, and the day after.
POMPEO: Absolutely.
(END VIDEO CLIP).
HAYES: I’m just sitting here with a man who just ordered him to commit bloody murder. We need to get the oil flowing. Saudi Arabia, the largest oil-producing country, has a lot of power over gas prices. For Republicans, this is all that matters. This means that OPEC and big oil companies are inclined to the Republican Party rather than the Democratic Party.
Remember that the Democratic Party is the party that fights climate change. This means the ultimate abolition of fossil fuel burning. This is not a difficult case, right? Saudi Arabia, OPEC and oil companies are not eager to ensure that prices remain low before an election in which Democratic candidates are vulnerable. Saudi Arabia may also want to announce a sudden cut in oil production just before the midterms.
Democrats cannot just say “Oh, well,” because the future American democracy is in, as we continue to report night in and night out on this program. This is real peril, existential danger. One of the major parties is currently under the control of the man who attempted a violent coup but failed and has now declared he’d do it again.
