Staggering Idiocy on Oil

Townhall.com ^ | February 25, 2012 | Mike Shedlock

[Freedom_Is_Not_Free]

great post

[zeestephen]

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“Wall Street profiteering, not oil shortages, is the cause of the price spike.....”

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Maybe someone can explain this profiteering gig to me?

I’d love to get in on it.

See, I’m one of those idiots who always thought it required two people to make a contract.

There’s the guy who thinks the price of oil is going up - the profiteer in this case.

He buys an oil contract.

Then there’s the guy who thinks the price of oil is going down - the rube.

He sells an oil contract.

If the profiteer makes $1000, that means the rube just lost $1000.

So, even though EVERY politician and EVERY journalist in America KNOWS the game is rigged, the rubes just keep selling oil contracts and losing all their money!

Where do these rubes come from?

I’m also confused about another thing.

If I was a profiteer - if I had the power to manipulate the oil market as I pleased - why would I take on the major political risk of forcing oil prices to go up?

I could make exactly the same amount of money by selling oil contracts and forcing oil prices to go down.

Then I’d become an international hero.

And still get rich, too!

But, I always come back to the same conclusion.

There are no profiteers.

There are no rubes.

There are just supply and demand, risk assessment, and currency issues.

[itsahoot]

Anyone remember “Windfall Profits Tax?”

The only legal power the government has in the oil business is to raise the taxes on the oil companies. Can anyone think of a reason that would lower the price at the pump?

Bill the Bloviator has been on an inane rampage asking for the government to step in, then denying that he said it, but he has been on that wagon for three nights running. He is only lookin out for the folks though.

[Smokin' Joe]

A silver dollar was 90% silver at that time. So she was being paid 90 ounces of silver per week. 90 ounces x 40 weeks x $35 per ounce in today’s dollars would be $126,000 per year for a teacher right out of college.

Oops, a silver dollar (Morgan, Peace dollars, two halves, four quarters, ten dimes--all the same amount) is only .72 ounces of silver, not an ounce. $90,720/year would be more correct (still, not bad).

[Battle Axe]

I did not say that it would provide all of our energy needs. I just said it was possible.

The only thing I agree with is that the earth used to have more carbon dioxide than it does today. Most of it is sequestered in coal, oil, etc. Then when we burn those things it is released. But the small amount that we are releasing only increases plant growth. CO2 is often, in grandpa's greenhouses, added to the environment to enhance the production of plants, (roses).

I do agree with another post that what ever the gubmint gets involved in turns to crap.

[FightThePower!]

Thanks for the info.

[Lakeshark]

Hey, you can see it on radar, and that should be good enough for you and your uppity questions.

It's all there, honest.......

[Smokin' Joe]

You left out the key questions for the green light for Government funding under this administration:

How soon can it be made to go bankrupt?

How much 'funding' can be shovelled into the companies a week or two before they go belly up?

What is the kickback to grant dollar ratio?

How well can/will the media cover for the perpetrators, and how much will that cost?

[Smokin' Joe]

...so why do we need to spend years of research and countless billions in taxpayer money to develop oil from algae that might easily prove to be impractical on any commercial scale?

'Cause the oil industry isn't about to feed them a dime in taxpayer funded kickbacks.

All that other crap makes the perfect shell for money laundering, because it is doomed to fail.

[LastDayz]

Here’s a link on the algae.

http://peswiki.com/index.php/Directory:Biodiesel_from_Algae_Oil

It is nothing more than a biofuel for diesel engines that is some years out to be of practical use.

Seems like I remember an article a few years back about algae replacing gasoline. Probably buried in a folder somewhere at work.

Obviously, this has nothing to do with the current situation the country finds itself with respect to energy production.

O’BungHole and crew know this as well as anyone else that keeps up with emerging fuel technologies.

The useless press, as usual, claim ignorance and fail to do the simpliest of jobs, reporting the unbiased facts. Why even have a press?

Yet more lies and BS from this bunch as well as their enablers.

Wake up America....