$262 a barrel for oil is a lot cheaper than a nuclear holocaust.
Besides, before oil got that high, several nations would join and attack the Arab nations and take over their oil in a real "war for oil." Of course, if that happened, the left would be able to justify it since it would be leftist nations attacking.
My guess is France would sit it out and complain while expecting the lions share of cheaper oil.
I agree.
Even now the cost of oil is not what we pay directly for oil. Indirect cost would include military action to keep oil fields and transportation available. If Iraq is not such a good example since Iraq is not producing much oil, consider Saudi oil, which was a target of Saddam. Consider the Navy presence in and around the Persian Gulf that keeps the nasties from blockading the routes at will. Commerce has overhead costs that are carried by the country as a whole besides ships and pipelines. It's very complex.