Free Republic
Browse · Search
News/Activism
Topics · Post Article

To: Paul Ross
Imagine the overall implications of having to pay $300 for a barrel of oil.

You miss a very important point in your lengthy (and informative, too) post. Under what circumstances would oil cost $300 per barrel, and how would that relate to the information you posted?

I contend that oil is far more likely to cost $300 per barrel if all of it is produced here in the U.S. than if we import 100% of it from foreign sources. Just think about that for a second, and ask yourself why importing large quantities of oil is such a bad thing for us.

144 posted on 08/09/2006 1:53:29 PM PDT by Alberta's Child (Can money pay for all the days I lived awake but half asleep?)
[ Post Reply | Private Reply | To 103 | View Replies ]


To: Alberta's Child
"Under what circumstances would oil cost $300 per barrel"

Dollar drops in value. (Demand for dollars falls).

145 posted on 08/09/2006 1:58:00 PM PDT by jpsb
[ Post Reply | Private Reply | To 144 | View Replies ]

To: Alberta's Child
I contend that oil is far more likely to cost $300 per barrel if all of it is produced here in the U.S. than if we import 100% of it from foreign sources. Just think about that for a second, and ask yourself why importing large quantities of oil is such a bad thing for us.

We have huge quantities of untapped resources from Alaska to the OCS, and the Shale Oil deposits in the Western Slope of the Rockies. Are you saying that our oil companies if allowed to fully exploit those resources would suddenly feel free to charge more per barrel for new discoveries over and beyond the prices of their current domestic production?

I think it more likely as our production as against our demand shrinks, we lose bargaining leverage in the global market, particularly as against coercive players in that market, such as OPEC, and China etc. If we could ramp up production that would lower their ability to dictate terms, and hence a lower equilibrium price would result.

147 posted on 08/09/2006 2:06:45 PM PDT by Paul Ross (We cannot be for lawful ordinances and for an alien conspiracy at one and the same moment.-Cicero)
[ Post Reply | Private Reply | To 144 | View Replies ]

To: Alberta's Child

I like your tagline. It's becoming a common theme with a lot of guys I know.


204 posted on 08/10/2006 8:41:57 AM PDT by gogeo (The /sarc tag is a form of training wheels for those unable to discern intellectual subtlety.)
[ Post Reply | Private Reply | To 144 | View Replies ]

Free Republic
Browse · Search
News/Activism
Topics · Post Article


FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson