I read this paragraph in a Reuters article yesterday:

Leaders of the committee writing energy legislation in the U.S. House of Representatives backed away on Monday from controversial elements of the bill, including new fuel economy standards for automobiles.

How is increasing fuel economy standards for automobiles controversial?

How is that even a bad thing?

Do you know anyone who finds the idea of increasing fuel efficiency to be controversial?

I'm calling bullshit on this one.

Americans are paying an average of $3.00 for a gallon of gas . . . and they're moaning louder than ever.

While you and I know $3.00 is exceptionally cheap (considering this isn't even close to the real price of gas), it's still enough to make any sane person wonder how raising efficiency standards would be considered controversial.

Interestingly enough, Democrats John Dingell and Rick Boucher, who lead the subcommittee writing the bill, are both from Michigan.

Hmmm. Now what's in Michigan?

Oh, that's right . . .

Detroit!

Shocked?

I'm not.

In any event, these bureaucratic buffoons said in a letter that the panel was pressed for time and could not reach agreement on several issues.

How convenient.

But that's OK. Because no matter how much lobbying money lines the pockets of our policymakers, the market will inevitably dictate change.

It already has.

How else do you explain Toyota selling 1.047 million of its hybrid superstar, the Prius?

And GM just announced that it has reassigned 500 engineers to speed up the creation of the Chevrolet Volt.

This is clearly an attempt to catch up to Toyota . . . as Toyota's hybrids outsold GM's 100-to-1 in the U.S. last year.

Of course, both automakers continue to fight increased CAFE standards and any attempt by California to strengthen its emissions standards.

But hey . . . it is what it is.

These guys will play both sides of the fence--because they have to.

After all, California and the other eleven states that have adopted that state's standard make up about one third of all US auto sales.

Though I suspect that when we do reach that tipping point--when gas becomes so expensive that consumer gripes turn to consumer action--it won't matter how much legislation they try to pass in regard to increasing efficiency standards.

The market, not the bureaucrats and lobbyists, will decide which automakers go belly up and which continue to progress, evolve and profit.

And you'd better believe we'll be there every step of the way!

Until next time . . .

Jeff