Jonathan V. Last’s column, published July 20, demands a response.

He starts out well, pointing out the transfer of wealth from the United States to the Middle East, including many governments that aren’t friendly. He notes that the cost of oil production has not risen, as if that could be the only reason for the price increase. He ignores the supply and demand part of the equation.

China and other countries on the Pacific Rim have growing economies, increasing their need for energy. That is the biggest reason for the increase in the price of oil. The speculators play a part: They see an increasing demand and a steady supply, so they bet on a rise in prices.

I take issue with his solution of more taxes. That’s right – he thinks people don’t send enough money to Augusta or Washington. That’s a liberal’s solution to everything – take more money from working people and tell them it’s for their own good.

There’s a virtual monopoly on world oil production, called OPEC. It operates under the protection of the U.S. Congress. Until Congress follows President Bush’s lead and rescinds the moratorium on new domestic oil drilling, I hold them responsible for these prices.

When the speculators know the supply of oil will be increasing, they’ll stop betting on rising prices and those barrel prices will quickly drop. Note, as soon as President Bush rescinded the executive moratorium on new oil production, prices began to fall.

Gerard Gelinas, Lewiston