Driving the surge in gas prices?
The Bush-McCain surge in Iraq

By Greg Palast for TomPaine.com/OurFuture.org
[New York, May 22, 2008.]

"It's been a good war for Exxon and friends. Since George Bush began to beat the war-drum for an invasion of Iraq, the value of Exxon's reserves has risen are you ready for this? by $2 trillion."

From the article:

These calculations are based off of EIA's most recent numbers, when gas was $3.04 a gallon.

If we add up the figures given,

Crude Oil.........2.07
Refining..........0.24
Taxes.............0.40
Transportation....0.26
Station profit....0.07
_____________________________

Total:..........$.3.04

Can someone tell me then, how the oil companies made their billion dollar profits?

PAX

Food for thought.

Can someone tell me then, how the oil companies made their billion dollar profits?

PAX

Posted by Grendel

Not in gasoline, but rather OIL.

More subsidies for oil companies NOW!

I've only flown 4,000 miles so far this season, not by my own choice mind you. Normally I'm at around 7,000 at this time of year. If you offer higher charter rates to recoup your fuel expenses, even with a fuel card, that loss in income is what happens, naturally. Some buddies of mine have been flying to Mexico and refueling there where its much cheaper plus lower taxes per fill-up, but I generally stick to the midwest and Canada so I'm screwed.

So I spend more time here at my winter place playing with my baby bunnies and watching the tomatoes grow, ho-hum.

"oil now is $140 since last month when it was about $125...so how many billions more has Exxon made since this article was written?"

Many many billions, done of which will go to clean Alaskan waters. herm

None of which. You knew that. herm

Where can I get $3 gasoline.

This is an excellent example of how big fish eat little fish, debunking the free market myth.

Its the same way with timber. Sawmills are squeezed so badly that only those with their own supplies can survive in the long haul. The Government sells so much a year, regardless of price. Private timber owners only sell when the market is up. They exercise extraordinary control of the marketplace.

Marijuana is another example. A kilo used to go for $100, yielding about 70 ounces at $10/ounce. Now the Drug Cartels take virtually everything, with street dealers facing decades of imprisonment for a 10% profit.

Independent Gas Stations are being run out of business because it isn't a free market. The market is controlled by the big fish. Watch them drop their prices before November. They will expect you to be grateful.

If only a buck a gallon go into the Bush-Cheney coffers, that's $110 billion a year, enabling them to eat better than the working American (too fat for college) who feast on dead rodents. herm

"In fact, by 2012, higher prices could send an additional 10 million vehicles off the road," CBS correspondent Priya David said June 26. Although $7 gas would do the most harm to low-income Americans, David praised the effects it would have in easing congestion. "It would certainly ease congestion. Having that many cars come off the road would be like permanently parking twice as many cars as there are in the state of New Jersey," David said. "Some look to Europe for solutions to the skyrocketing gas prices. They drive nice little cars, which maybe we should start doing," one woman said to CBS during the segment."

Can someone tell me then, how the oil companies made their billion dollar profits?

hmm.. Government as a whole is responsible for 40 cents. Big Oil makes a lot less per gallon of gas than that. So why aren't we attacking Big Government?

But here's something that's always bothered me. Let's say we take their "excess profits."

1. What is considered excess? Isn't that rather arbitrary?
2. What about other industries that make larger profit margins?
3. When excess profits are removed, who do you think is going to be paying for the loss of profits through higher gas prices?
4. When excess profits are removed, what do you think is going to happen to the millions of jobs, the millions of shareholders and everyone else that depends on these excess profits in the form of retirement funds, investments, etc.?
5. When they (congress) are done raping Big Oil, who's next?

I hear Oprah makes excess profits. So does George Lucas.

>>Volume. Take a look at the dollar
>>amounts based on the US's usage
>>for 2007 (377 million gallons per
>>day, 138 billion gallons for the
>>whole year)

I don't think that's right. In fact, I think that's way off. Here's another source which is just a bit different:

HumanEar,

Can you read? Exxon makes $2.31 per gallon for pumping and refining and $2.57 when they use their own the delivery truck.

Yet you say that the Government is making more than that at 40 cents. What is wrong with your brain? Too much TV I suppose. Rots the brain.

Nut et.al.

The government take is tagged as a percentage of the price of gallon (local and state) so the higher the price the more tax per gallon...it is now up around the .40 range for local (as the article has dated information) and .18 for Fed.

Net about .58 out of a $4 gallon is taxes for government..which has NO capital risk in the manufacturing or distribution of the product...unlike Exxon or the rest that employ drillers, engineers, enviromentalist to fill out EIS's, accountants, Geologists...all who salary (and associated income taxes) come out of the profit on a gallon.

So...Government does nothing and takes no risk and takes a higher percentage (by 4X ) than the guy that runs the local gas station.

That is why the guys on the hill go after the Exxons and make a boogy man out of them...to keep everyone looking that way instead of toward the real problem...them. And you are willingly compliant - without stepping back and acutally thinking.

Oil price is strictly supply and demand ...and until we unleash our ability to supply the cost will continue to rise.

Drill now pay less.

Oil companies make 11% profit, taxes take 12%. Eliminate profit...and gas still cost plenty. HOW would another tax help??????????

From ray's post......

In these days of Peak Oil, are we to presume that the feds are better at finding oil than the oil companies?

-Or is the tax supposed to "punish" the oil companies for not finding enough oil?

-If they raise taxes, what's to stop the oil companies from passing on the cost to consumers?

-What is to stop the next president from using the tax money to finance the war in the ME or some other pet project?

-As MSGT asks, what is the definition of "excess"?

-If such a definition can be agreed on, shouldn't it be applied to all corporations?

-What do the oil companies do with their profits?

-Aren't we overtaxed already? I certainly think so.

-Would you give the Feds more money when they can't even manage what they have? And the Feds don't pay taxes.

Hey, Nutcase, why don't you just eff off, you whinetard? Who the hell you do think you are, you condescending ass?

Gee, a Liberal throwing out names and attacking people- there's something you don't see every day. How about I throw out a few of my own, you asshat.

Now, you're completely wrong on your facts, you shitbag. You really think that the numbers above are net profit? Can YOu fucking read you hopeless dopesmoking nobody.

I wasn't calling anyone names- till now. And it sure hurts me more than it hurts you.

"Net about .58 out of a $4 gallon is taxes for government..which has NO capital risk in the manufacturing or distribution of the product"

Here's a brilliant statement. Government has not capital risk in the production of "the product" meaning gasoline or diesel fuel. Duh!!! What risk does the oil company have??? No one is going to want to buy gasoline?? They will be stuck with the product?? Their price will be undercut in the competitive (ha ha) marketplace.
You know why Teddy Roosevelt is thought a great not an average president???
Cuz he broke up the Standard Oil Company with the Sherman Anti-trust ACt. You want lower gas prices, do what Teddy Roosevelt did again.
OK Righties, now tell me why it is Communist or Socialist to break up monopolies and force....COMPETITION!!!
Corporate Oligharcy, while pretending to value capitalism strives for monopoly which eliminates the benefits of capitalism.
If America could just learn that simple lesson it would be a different, better country.

You know, I wish the oil companies would just close down and stop producing gas and then we will see where all you sorry asses are... stuck! I hear that the oil companies make too much money, well this is a capitalistic society and they have every right to make what every you sorry asses will pay. When you stop paying the price will come down!

So, the Dems what to tax the oil companies more because they make too much profit....Well Starbucks makes too much money on selling coffee so lets tax them more and use the money to pay for gas.

Lawyers make too much money, let's tax them some more.

Bus drivers work long hours and drive a nice bus why don't we tax them some more to pay for gas.

Ppl lets try and get beyond stupid. We need to product more from our own oil fields. We need to learn how to reduce our driving. We need to build better cars that use fuel more effiecient ( we have only had 30 years to do it in, ever since the gas lines of the Jimmy Carter years - whoo did I say that).

"we have only had 30 years to do it in"

Ain't it amazing?

"we have only had 30 years in which to to do it"

Some English teacher I had would have preferred that.

It's more like a hundred years.

1896

Oh look,

"Climate change has caused plants to seek cooler conditions at higher altitudes"

Must be CO2 volcanoes.

HAHAHAHAHAHAHAHAHA

Yawnnnnnnnnnnnnnn more BULLSHIT from Zat. Why am I NOT the least bit surprised at this???

Larry

>Government has not capital risk
>in the production of "the product"
>meaning gasoline or diesel fuel.
>Duh!!! What risk does the oil
>company have???

That's easy. When an oil company drills, they're taking a RISK that they won't find oil. You seem to forget that exploration costs money. You seem to forget that if it weren't for the oil companies and the billions they pay in taxes, there would be much less in revenues. You seem to forget that if it weren't for private enterprise, there would be no competition.

This has nothing to do with monopolies. Oil is not at a all time high because of a monopoly. Actually, there are many many reasons why oil is high.

Are you really that shortsighted that you believe that if oil companies would operate at zero profit that all of a sudden gas is going to plummet?

[citation needed]

I bet Larry would render down nicely.

Danni--

Here in San Diego--we used to have many many other independent gas stations--there were all bought by the big companies or they went under--

>>The Dems want to take over all
>>of the oil companies and nationalize
>>them.

Yeah, that complete stuttering Maxine Waters ALMOST said the S word (shhh--- socialism)

What a joke she is.

About those taxes...

*All* of that goes to paying for roads, streets, and highways. Yes, some is taken from the transportation funds for transit, pedestrian, and tourism. But, more is taken from the general revenue for roadwork than that. In many European countries, there is fuel tax above and beyond the highway maintenance cost, but not in the US. Canada runs closer to real cost, but still below it.

This is a very fair use tax. Those who drive more (or drive bigger vehicles) pay more for their use of the road. Do you have a better solution for equitably paying for the very expensive roads we like so much? Any other source of funding ends up with those who drive less subsidizing those who drive more.

As far as the other things sales taxes pay for... schools, police, and social programs... gasoline is, amazingly enough, an *untaxed* item.

Foshaffer - In most states, the state component of the gas tax is also in fixed cents/gallon. Only a few states have a percentage-based gas tax. This is a problem, because road construction costs are very closely tied to gasoline prices, so some states are deferring more maintenance than ever.

When the 5 heads of the Oil Co's were called before Ed Markey, they ALL TESTIFIED THAT THEY DON'T NEED ANY ADDITIONAL REFINERIES!

FACT! (that's how 'fact' is used JamesDean)

Why would they? They're making huge money without having to outlay more cash. Only makes sense that they would want to keep the prices high and would refuse any new refineries. I have to wonder how many people lobbying against refineries are actually working for Big Oil under the guise of an environmentalist.

I have a hunch where my gas money probably goes but I do know for sure where
my gas money is coming from -- my now empty wallet.

CC---Amen!

Can't we mostly agree that we need more supply--from our own resources and not from foreign places?

I kinda like the idea that if a company won't drill on the land leased to them then they lose the lease.

When the going gets tough--the tough get going.

That's America! We can do all of the ideas--make the solar and alternative tax credits permanent, drill off shore, on shore, shale, ANWR, build refineries, let go of some of the strategic petroleum that we have save up, build better cars--although the market is pushing the car manufacturers--Hummers are dead now.

That's America! We can do all of the ideas--make the solar and alternative tax credits permanent, drill off shore, on shore, shale, ANWR, build refineries, let go of some of the strategic petroleum that we have save up, build better cars--although the market is pushing the car manufacturers--Hummers are dead now.

Posted by MURPHY at 2008-06-27 07:25 PM

why do you persist on trying to drill in sensitive areas when it is not necessary or even helpful?

"There are some who believe that the only solution to our skyrocketing energy crisis is to drill, drill, and drill. And one of their primary targets is the Outer Continental Shelf.

Congress chose to protect these federal waters from oil exploitation in 1981. And Congress has voted to renew that ban every year since then.

But today, these federal protections are under attack.

Let me be clear: lifting the moratoria is a false promise and an unnecessary risk.

Yes I do--and so do 75% of Americans who say drill.

I don't believe a friggin word she says with her husbands company being a War profiteer.

We need to drill everywhere.

It was passed in 1995 but Clinton wouldn't sign the bill.

They have been saying this since 1980.

At what point do we start to drill DOnner?

When gas is $10.00 a gallon?

Would you say NOW is the time to drill?

Can't we mostly agree that we need more supply--from our own resources and not from foreign places?

Nope. Not until the U.S. oil companies guarantee the American people they will not be drilling off our coastlines and in our interior only to take our oil and then dump it into a world-wide common oil market. So far that ain't happenin'. Until it does, no drilling.

Why should I chance having my view of a sunset off our beautiful California beaches marred by the sight of side by side oil rigs or maybe have to clean up dead sea lions with oil-matted fur due to an off shore oil spill all because the oil being pumped in the U.S. was actually destined to go into the gas tank of some guy in China's brand new car.

Call me selfish, call me not "thinking of the rest of the world" -- I could care less.
If the citizens of the US are not guaranteed the use and control of all the oil that Bush and the U.S. oil companies want to suck out of our country, then they can just keep their hands off our coastlines and off of ANWAR.

Why hasn't big oil drilled on the hundreds of thousands of acres they've already leased for oil exploration? I know not every acre will turn up an oil deposit but start on those first. Face it, this is oil boy Bush's last chance to get Americans to turn over all our country for oil drilling before he's out of office. So he's jacked up the price of oil in one of his usual scare tactics hoping to get Americans to agree to letting the oil companies drill wherever they want.

If I and the rest of my fellow Americans don't get to keep ALL the oil found on our land -- then let big oil drill off the coast of China.

And another thing --I am sick and tired of politicians telling us we can't drill our way out and they won't do a friggin thing to do something about the damn cost of gas.

Not a damn thing to be done--ooh--oh--we have to wait 20 years for someone to invent a phucking whirley bird to go on the back of our cars for power!

That's their fix to the problem--continue to keep their thumbs up their butts and do nothing!

I guess you libs will be spending more time in your parent's basement playing video games, blogging, and jacking off, instead of riding Daddy's car up to the Dairy Queen. As for me I own 7540 shares of Exxon-Mobil stock.

As for me I own 7540 shares of Exxon-Mobil stock.

Posted by fwthom at 2008-06-27 07:51 PM | Reply

Hows that blood feel on Your hands???

Larry Mohr

Is this supposed to mean that the feds should nationalize the oil companies? Then there would be no worry about profits. The feds couldn't make a profit if they tried.

Hows that blood feel on Your hands???

Larry Mohr

Yes that's it Larry, Big oil made Bush do it.

FWTHOM

FWTHOM

This is the larger picture I meant to link:

Chris

In the 70's my sister had two wells within a few hundred feet of her house.

It was a comforting sound to go to to sleep by.

They're long dried up.

Hows that blood feel on Your hands???

You tell us, Larry. You also are a benefactor of big oil just as the stockholders are.

I'm glad for big oil stockholders. Spread the wealth, I say. I guess Larry would rather the big evil oil corporations kept it all to themselves. What do you have against the rest of us getting a piece of the pie, Larry?

To hell I am Goatman. More of Your intellectual Dishonesty and trooling at work.

Larry Mohr

I'm glad for big oil stockholders. Spread the wealth, I say. I guess Larry would rather the big evil oil corporations kept it all to themselves. What do you have against the rest of us getting a piece of the pie, Larry?

Posted by goatman at 2008-06-27 08:07 PM | Reply | Flag: Flag: (Choose)
FunnyNewsworthyOffensiveAbusiv
e

Like I have said before I do not believe in profitting off of the killing of others. You can do so however. It IS Your life and Your soul.

Larry Mohr

Then I'm sure you won't mind having an oil well like this one in Los Angeles

It could be worse.

Like I have said before I do not believe in profitting off of the killing of others.

Like I said before, larry, you don't seem to mind benefitting off of the killing of others, though. You do drive, don't you? Do you use products with rubber or plastics? Pharmaceticals?

Unless you are living a Ted Kazinski lifestyle, Larry, you too, have blood on your hands. How does it feel?

Like I have said before I do not believe in profitting off of the killing of others.

Exxon employs murderers???

hell I am Goatman. More of Your intellectual Dishonesty and trooling at work

You mean more of your denial and freaking out from having to face the facts that you are an oil consumer.

Exxon employs murderers??

Exxon employs murderers???

Posted by Ray at 2008-06-27 08:20 PM | Reply | Flag: Flag: (Choose)
FunnyNewsworthyOffensiveAbusiv
e

They are reaping the profits off of the killing in Iraq what do you call it??

Larry Mohr

"Exxon employs murderers?"

Quite common among multinational corporations operating in the 3rd world. Has been for for over a century. This is just one example:

"let's now turn to Chevron (formerly Standard Oil of California), which is the third largest U.S. integrated oil company (behind Exxon-Mobil and Texaco), and which has one of the worst records in recent times of abusing human rights. One indisputable example of this abuse is in the Nigerian Delta. Nigeria is the sixth-largest oil-producing nation in the world, but few people in the Niger Delta share in the profits. Many communities have no electricity, clean water or medical clinics, and suffer the health effects of oil pollution. The explosion of a gas pipeline in Nigeria's oil-producing region in October 1998 killed more than 700 people, and sparked widespread resistance which succeeded in shutting down a third of the country's oil production. The transnational oil companies and their Nigerian military business partners responded to this threat to their profits with raw violence. On May 28, 1998 Chevron facilitated an attack by the feared Nigerian Navy and notorious Mobile Police, known as the "Kill n' Go", on an unarmed group of people from a delta village called Ilajeland who had occupied one of Chevron's offshore drilling facilities. Among the people' demands were clean drinking water, electricity, environmental reparations, employment and scholarships for young people. After occupying the facility for three days, the villagers thought they were waiting for Chevron's response to their demands when helicopters landed amidst a hail of tear gas and bullets. The Nigerian military shot to death two protesters, Jola Ogungbeje and Aroleka Irowaninu, critically wounded a third man, Larry Bowato, and injured as many as thirty others. Chevrons facilitated this brutal attack by transporting the Nigerian soldiers and Mobile Police to the platform in company helicopters. In addition, Chevron's acting head of security in Nigeria, James Neku, flew with the military to the installation the day of the attack. The worst part of all this is that these are but a few small examples of the types of tactics still used by nearly every oil company to insure their profits at any cost."

Larry--

Only six weeks until the Olympics and Women's Softball

Ray

Is this supposed to mean that the feds should nationalize the oil companies? Then there would be no worry about profits. The feds couldn't make a profit if they tried.

It's not the profit big oil and their shareholders make that bothers me, Ray. It's their price gouging of the American consumer that personally affects my own pocketbook that makes me angry. Big oil owns our politicians (from both parties) and particularly owns this Administration. As for nationalizing the oil companies? Aren't they just about nationalized already with all their government subsidies and tax breaks?

Heard a good radio show last night how it's always been big oil and the Detroit automakers who all these years have pummeled into the ground and destroyed anyone who sought to find or came up an idea for an alternative means of energy. That also included destroying any politician who dared to suggest government support for research into alternative energy. Those two oil-dependent groups didn't want their $$$$$ gravy train coming to a halt.

Do you mean to tell me a nation who could send men to the Moon back in 1969 still cannot find any alternate source of energy? Give me a break. We will always need oil for its many uses which improve our daily lives but if we could at least get another means of alternative energy to replace gasoline it would lessen our dependence on oil by half.

Damn! I could have sworn Bush and the neocons sent our military into Iraq. Remember Wolfowitz's famous prediction about oil profits paying for the occupation? That source is insignificant. I call it confusion on your part.

They are reaping the profits off of the killing in Iraq what do you call it??

Using your logic, you are a murderer, too. You are reaping the benefits from oil (or as you put it 'the killing in Iraq') too.

How does it feel to be a murderer, Larry?

Yummy Murphy God I love ya. Thanks for the 411. Too bad I ain't in California. I'd find Me a coed softball league to play on. That would be quite delicious.

Larry Mohr

Larry--

Only six weeks until the Olympics and Women's Softball

As Larry again goes to sleep with visions of women's sports bras
dancing in his head hahaha

Goatman You are a useless trool. Keep trooling that's Your only act.

Larry Mohr

Larry--It's a softball and you can't eat it..;o) lol

Hey I can nibble on the pair of "Softballs" that is for damned sure. I'f I thought there was a chance of getting lucky that night I'd do my damnedest to chow down a real one.

Larry Mohr

Larry--TMI !!!

Goatman You are a useless trool. Keep trooling that's Your only act.

Larry: Using your definition, you benefit off the blood of others and are a murderer.

Personally, I don't buy your definition. I think it's stupid. But if you do and you apply it to others, you have to apply it to yourself, too. That's only fair.

Or is being fair not a trait your ascribe to yourself?

Larry--you are in Ok City or close by?

Here is a link to coed softball in Mustang

I am exactly 3.2 Hours from Oklahoma City. I live Northwest of Wichita Kansas.

Larry Mohr

Chris

The price gouging comes from the feds and the banking cartel. They are the ones who profit by creating dollars out of nothing. Eventually those dollars find their way into the general price level.

Primarily, the price of oil is going up because the value of the dollar is going down. The market is losing confidence in the dollar and sellers are holding out to compensate for the loss they incur by receiving dollars. American buyers have to bid against foreigners if Americans are to have sufficient supplies.

As far as I can tell, the oil companies are getting a net profit of 10% on gross sales. Wall street is getting many times that. Big oil execs are no angels, but all I see here is scapegoating.

What's a trool?

It could be worse.

Downtown Kilgore Texas.

If I owned that land and the rights to the oil under it, they could build all
the gushers they want to on my property.

Big oil owns our politicians (from both parties) and particularly owns this Administration.

That's a common belief around here. Are politicians responsible for nothing? Why do voters keep sending them back?

A Trool is Your basic troll and tool combined. If You are just a troll looking to fuck with people You can not be a trool. Now if You were a troll and You was shilling for the say right You would be a trool for the right winged side. same if that person were a lefty. He or She would be a trool for the left. Capisce now RIR??

Larry Mohr

Ray

What about the oil speculators? Are they driving up the price of oil? I read they can speculate on the price of oil and buy then shares accordingly paying only 5% - 10% of their cost up front which allows them to buy even more shares and drive the price up even higher. (I'm not real saavy at finance speculation, etc. so maybe I've got it incorrect and/or don't quite know how it works.)

Larry: Using your definition, you benefit off the blood of others and are a murderer.

Posted by Goatman

Don't go there with Larry, Goat. I learned the hard way... He wrote his congressman... not guilty.

RightisRight

Since you asked, here is the meaning of "trool" from the Urban Dictionary:

trool

"trool: a person who enters a blog comments conversation with the intent to hijack it or divert it from it's subject and tone but does so in such a clumsy, clueless manner as to provoke laughter and derision rather than humorless animosity. etymology: the word, trool, was "invented" a few months ago as a result of careless typing. it proved to be an immediate hit amongst commenters at firedoglake from which it seems to have spread virally.

That's right Hagbad Celine and don't forget it.

Larry Mohr

This is one explanation about speculators.

That's right Hagbad Celine and don't forget it.

Posted by LarryMohr

;-)

BTW Chris, if you look at the chart at 8:50, you'll see the drop in the dollar accelerating towards new lows. That tells me that prices of ALL imports will increase in proportion. Not just oil. Food. Walmart stuff. Yes and even gold and silver.

What happened recently is that Bernanke was talking tough on the dollar for months. His bluff was called when he didn't raise interest rates. That's what panicked the stock market too.

If the above post really did come from Dianne Feinstein, then she's being deliberately obtuse. First of all, "drilling permits" doesn't equal more drilling. She knows that, and if she doesn't, it means she's too damn lazy to pick up a phone and ask one of her pages, "Hey, get me a chart on domestic crude production, before I put out a press release that makes me look like a dumbass." It takes time to do the mapping, the seismics, and years to get a rig to the site. And at every turn, you're being bedeviled by the enviros--just because the feds have approved the lease, doesn't mean that lawsuits can't be filed. Then you've got the fact that, with horizontal drilling, companies snatch up large tracts of leases at a time---just because the entire oceanscape isn't dotted with platforms doesn't mean the leases aren't--eventually--going to be tapped. The fact is, domestic production has been falling, for years, but Feinstein believes that issuing a bunch of permits to drill in deep water must mean that gas is flowing? Uh huh.

Oil companies' leases have a termination date, usually 10 years out. Feinstein implies that oil companies are stupid, in that they buy up a bunch of leases, then refuse to drill. It simply doesn't work that way. She is being deliberately disingenuous--does anyone REALLY believe, that more oil, as opposed to less, would result in anything BESIDES prices being LOWER than they would be, otherwise?

This is all fine with me. We have the prices we deserve, because we have the politicians we deserve. I can afford gas at twice the price, with a minimum of inconvenience. I suspect that isn't true of the people Dianne Feinstein pretends to care about, but doesn't, not really. Remember, Dems, every time you fill up your SUV's for seventy bucks, that your representatives in Congress think that is just fine.

As do I.

Drill, Drill, Drill.

How can so many people be so wrong on so many things? I just don't get it.

Liberals are against drilling in our own country and in our oceans. Everyone else in the world is drilling circles around us and beating us to it. Pretty soon it won't matter anymore.

Libs, can you tell me this please: If our enemies are all drilling for oil, getting rich, building armies, getting strong and basically pulling rug out from under our feet, how is it that you're okay with standing by and doing nothing about it except chanting the alternative energy tune? How is it that you're okay with china slant drilling into our oil fields but you're not okay with us drilling into the same fields and other fields around us?

How is it that the entire democratic controlled congress is okay with telling us what doesn't work but won't do a fucking thing to solve the problem?

How is it that the party of Jimmy Carter, John Kerry, Al Gore and many other losers base their entire philosophy around the biggest failures their party could produce?

How is it that Liberals are just plain wrong all the time? Jimmy Carter was the biggest failure as President and was single-handedly responsible for one of the worst economies in modern history.

And before you say one word about today's economy, keep in mind that employment is still very very low, interest rates are very very low, the economy did in fact grow by 1% last quarter and we are not really as bad off as the election year media would have us believe. Yeah, gas is high. Expenses are higher. Life sucks, get a fucking helmet. obviously nobody here is doing that bad or they would have shut their cable modem off by now and started reading a fucking book. Right?

Dianne Feinstein is a C**T. She's a stupid moron. BTW, since she's a woman, do they have to pay her as much?

"Pretty soon it won't matter anymore. "

HAHAHAHAHAHAHHAH

Try the 30's.

What about the oil speculators? Are they driving up the price of oil? I read they can speculate on the price of oil and buy then shares accordingly paying only 5% - 10% of their cost up front which allows them to buy even more shares and drive the price up even higher. (I'm not real saavy at finance speculation, etc. so maybe I've got it incorrect and/or don't quite know how it works.)

Posted by CalifChris
* * * *

Speculators can't affect the spot price, which has to be settled in cash. They can do whatever they want in the futures market, but they have to find speculators on the other side of the trade, which cancels it out.

The oil market is driven by supply and demand. That's it. The falling dollar affects both, so, yes, higher US inflation causes shifts in the supply/demand curve.

Even were you to believe speculators are driving the price of crude up, ask yourself why. Speculators can only exist in markets where there is almost no slack supply--you don't see scalpers hawking tickets to football games played in empty stadiums, unless their prices are LOWER than what is at the box. It's only because of soaring demand for crude worldwide, and supply that simply isn't keeping pace, that speculators have come into the futures markets in the way that they have.

As I see it, Washington is scapegoating speculators to deflect attention away from themselves. Speculators have been around as long as prostitutes.

Posted by Ray

Paul Krugman said the same thing today in the NYTimes

How is it that you're okay with china slant drilling into our oil fields but you're not okay with us drilling into the same fields and other fields around us?

* * * *

Well, I'm not a liberal, but I'll answer. I don't think China is our enemy, per se. But I'm personally glad they'll be making money in the Gulf, drilling off Florida. I'm glad somebody is. And with crude being a worldwide market, their efforts would result in lower prices, than would exist absent them.

Wow. First time in my life I've agreed with a Paul Krugman article. Enthusiastically, no less.

The oil market is driven by supply
and demand. That's it. The falling
dollar affects both, so, yes, higher
US inflation causes shifts in the
supply/demand curve.

Great point. One of the largest contributors of the problem is the Federal Reserve. This unchecked power has pretty much been singlehandedly responsible for the falling dollar. By making money cheap and dumping tons onto the market (re: supply and demand law), our dollar is pretty much about as valuable as the paper on which it's printed. Takes a lot of dollars to buy a barrel of oil these days.

Pile this onto the fact that production is stagnant, refineries are stagnant and the world knows that we're completely dependent on there oil, and viola! 140 barrel oil.

And with crude being a
worldwide market, their
efforts would result in
lower prices, than would
exist absent them.

Interesting point. not sure I agree, but interesting. I believe that china will one day be our enemy. Not yet, but in the future. They are expanding in a huge way and they, unlike the US, don't have these pesky human rights or a democracy to keep them in check. Wait till they become several billing and need to expand. While the Democrats and pretty much everyone in congress has been sitting their with their thumbs up their asses, they're exploring, drilling, expanding, getting bigger and between them and russia we might have a rather significant problem on our hands in 10 or 15 years. Oh, but we'll have windmills.

scuse me... I meant to say "several billion."

Humanear,

right.... and the government gives you roads, tunnels and bridges for that money. You make it sound like its "free money" for them to go on vacation or something. You are comparing apples and oranges. Only Bush would waste money in that way.

Lets look at the oil drilling in the Carribean. Clinton offered Royalty free drilling until the oil companies recouped their investments. But somehow the royalty paymens after break even "disappeared from the written contracts, so they still pay nothing, pocketing the entire amount.

Now if a bank makes a mistake and puts more money in your account than you're entitled to, they can come back at any time and reclaim it. But if things go te other way, you have 30-90 days to catch the error and get it corrected. Different rules for different players, depending on their political power.

And so ther eis no means for coeecting this "clerical error" or any way to find out who made the "error" and how much money was moved inot a secret Swiss account for making that mistake.

Wake up, we live in a sea of lies, designed to move Money from your pocket to "their" pocket.

You express sympathy for these oil companies as they fuck you. This I cannot understand.

Dianne Feinstein is a C**T. She's a stupid moron. BTW, since she's a woman, do they have to pay her as much?

~inHumane-R

Are you finished making an idiot of yerself yet?

Be Well.

Not yet, but in the future.
Posted by humanear

Why would they choose to cross the atlantic before they headed west toward India and the 'stans?

Nutcase, It's not that I sympathize with the Oil Companies, exactly, but rather I sympathize with businesses that are unjustly attacked. I'll get back to that thought in a minute...

right.... and the government
gives you roads, tunnels and
bridges for that money.

First, let's be clear, the Government doesn't give me jack shit. We The People. We (short for We The People) elect these weasels to represent us. I don't believe that any of them represent any of us anymore, Dems or Reps.

Second, the money that comes in from the Gas taxes- I'm pretty sure that it's not in some "lock box" for roads, tunnels and bridges. It gets put in one big fund where these SCUMBAGS earmark it and spend it on a bunch of shit that WE did NOT authorize them to spend it on.

Take Social Security for instance- It's part of the General Fund. There is No social security fund. I pay into it because I have to, even though I'd rather keep my money and sign a piece of paper promising not to collect it when I retire. Know why? 'cuz it aint gonna be there when I retire.

But back to my sympathy. I support business, big and small. I have never ever gotten a job from a poor person. I believe in capitalism and a free market because the other systems have proven over and over not to work, including socialism of any kind. I believe that the attacks on Oil are politically motivated and I believe that Nancy Pelosi was either lying or dead wrong when she stated in early '06 that if you elect Democrats, we'll fix the gas prices. Either way, they've doubled since then and they feel the need for a patsy to make their constituents feel better. Believe me, her attacks aren't going to make the prices go down, they're going to make the "victims" feel better when someone gets punished.

Gas is still going up, and Congress isn't doing shit about it.

~inHumane-R
Are you finished making an
idiot of yerself yet?
Be Well.

Not even close, my friend. Not even close.

Why would they choose to
cross the atlantic before
they headed west toward
India and the 'stans?

Dunno. Too many rats maybe? Maybe the overall smell?

" but rather I sympathize with businesses that are unjustly attacked. "

That's right, Humanear. As Ayn Rand said, big business is America's oppressed minority.

As Ayn Rand said, big business
is America's oppressed minority.

And that's true. The losers in life (or the looters, as Rand would say) are always interested in bringing people down to their level. Handicapping the achievers instead of striving for greatness.

Ayn Rand kicks ass!

Oh no. Please don't let this turn into an objectivist thread.

"The losers in life (or the looters, as Rand would say) are always interested in bringing people down to their level. Handicapping the achievers instead of striving for greatness. "

True. What this country needs is a Howard Roark or a John Galt.

Actually, Galt's motor would come in handy about now.

Doesn't the talking points of Congress blaming the speculators and oil companies in order to deflect from themselves sound vaguely familiar??

Oh! It's the same as Saudi Arabia or Iran or (name the dictator) blaming the US for all of the world's woes!

"The losers in life (or the looters, as Rand would say) are always interested in bringing people down to their level. Handicapping the achievers instead of striving for greatness. "

Wouldn't that be the hoardes? The hoardes of rats are going to eat the rest of us alive??

"Wouldn't that be the hoardes? The hoardes of rats are going to eat the rest of us alive??

Posted by MURPHY at 2008-06-27 10:48 PM | Reply"

Who would want to emulate someone with your view of humanity? It makes me wonder what horrible darkness lurks in your brain that you view the bulk of humanity as so much vermin?

"Actually, Galt's motor would come in handy about now."

Not to worry. Galt, and Dagny Taggart and Hank Rearden and the other uber-capitalist superheroes will be marching out of Galt's Gulch any day now.

All we have to do is cut their taxes and they will save us.

Thanks Murphy that sounds Promising. Maybe I'll hit the jackpot with either link. THANKS

Larry

As Ayn Rand said, big business
is America's oppressed minority.

Ayn Rand was a selfish cunt who was a continual apologist fer greed.

BigBiz is really an amoral oppresive minority.

There, Randy Ayn, Spud is FTFY.

And that's true. The losers in life (or the looters, as Rand would say) are always interested in bringing people down to their level. Handicapping the achievers instead of striving for greatness.

Worshippers of Mammon like Ayn think that leveling the playing field and allowing people to lead lives of dignity is somehow a sin.

Handicapping the achievers?

You've got to be kidding with that shit.

Ya want folks to feel sorry fer the powers-that-be?

How retarded was that ditzy biatch?

Ayn Rand kicks ass!

Ayn Rand SUCKS ass!

There, FTFY again.

When it comes to people praising the bint Spud is definitely an "objectionist".

Be Well.

Fear the peeps who just read their first book for like the eighth time, yo.

DethSpud,

You're funny.

"You're funny."

He's clueless, Humanear.

He doesn't understand that only by unleashing the creative talents of the real producers in this country, not the lazy, whiny ass workers, but the entrepreneurs, the captains of industry, the inventors, the Edisons, the Fords, the Galts, the Rockefellers, etc., can we create the prosperity for all that everyone wants.

I guess you libs will be spending more time in your parent's basement playing video games, blogging, and jacking off, instead of riding Daddy's car up to the Dairy Queen. As for me I own 7540 shares of Exxon-Mobil stock.

Posted by fwthom at 2008-06-27 07:51 PM | Reply | Flag:

Do you want a cookie or something?

BTW, you use 'blogging' in your slam against people......tell us, what are you doing here?

He doesn't understand that only by unleashing the creative talents of the real producers in this country, not the lazy, whiny ass workers, but the entrepreneurs, the captains of industry, the inventors, the Edisons, the Fords, the Galts, the Rockefelers, etc., can we create the prosperity for all that everyone wants.

Posted by nullifidian

then the Mozarts & Teslas come around and outshine them all...

Surprise Surprise ...

So...Government does nothing and takes no risk and takes a higher percentage (by 4X ) than the guy that runs the local gas station.

you mean like build roads or bridges or other modes so you can DRIVE your POS car?

First, watch this Reuters news clip:
Then, read this article:

Posted by CB_Brooklyn

Should I hit the streets and start shooting people before I chuck it all and shoot myself?

Damn. Happy F'ing Saturday.

"Mexico Cantarell oil field output falls again in May"

MEXICO CITY, June 26 (Reuters) - Crude output from Mexico's struggling Cantarell oil field fell in May for the eighth month in a row to 1.038 million barrels per day, its lowest level in more than 12 years, Energy Ministry data showed on Thursday.

The fading jewel of Mexico's oil industry, Cantarell has declined rapidly since 2004 and is pulling down overall oil production in the world's No. 6 oil-producing nation, threatening Mexico's status as a top supplier to the United States.

The field's waning yields are putting pressure on the government to overcome opposition in Congress to its proposal to overhaul the oil industry by lowering barriers to private investment as a way to speed up new drilling projects.

Cantarell for years produced 60 percent of Mexico's crude oil, and production peaked at around 2 million barrels per day in 2004.

But its May output fell again, from 1.074 million bpd in April, to stand at its lowest level since January 1996, according to Energy Ministry data.

Cantarell, which state oil monopoly Pemex sees declining at around 15 percent annually, accounted for just 37 percent of Mexico's May oil production, down from 39 percent in April.

To put this in perspective, Mexico is our second largest source of oil after Canada. Saudi Arabia is our third largest source.

Crude Oil Imports (Top 3 Countries)
(Thousand Barrels per Day)
Country Apr-08 Mar-08 YTD 2008 Apr-07 YTD 2007
CANADA 1,952 1,795 1,902 1,909 1,846
SAUDI ARABIA 1,453 1,535 1,519 1,458 1,358
MEXICO 1,259 1,232 1,230 1,460 1,471

Zat, I'm fairly sure Mexico was our second supplier, though I could be wrong. If so, Mexico dropped to third because of falling output. Whatever, it doesn't change the dynamics of falling international oil supplies.

I still stick by my prediction of $5 a gallan and $150 a barrel by July 4th.

" I'm fairly sure Mexic