The economists are arguing that the Iraq war has increased trader's scrutiny on the production and transport level of the oil industry. Their argument extends to the perception that the war has led traders to become extremely sensitive to any supply disruption.
There is an increase in world demand. However, if the production was sufficient to meet that demand -- or more importantly, if the supply was at least stable -- the increase in demand may not have as pronounced an effect. Without the war, trader's would be confident that supply could expand without threat from attach.
There are two problems with economics and politics. First, it's not a visceral science, whereas gay marriage is a big deal to some. Secondly, trade deficits are complex situations that don't easily reduce to a 30-second soundbite.
This title says it all. Although the Republicans love to paint the democrats as tax and spend, the reality is the Republicans simply love to spend.
The Democrats have a real opportunity to split the Republicans in two by targeting the fiscally conservative moderates. Although it appears from the election statistics moderates do not exist, I believe this is a fallacy. Most people I know fall into this category. They want to help people so long as the help does not run into huge deficits or destroy personal responsibility.