Is there a Little Oil? If so, do they only generate misdemeanors?
How do I recognize them for the rascals that they are?
Is their criminal conspiracy Unorganized?
If they are not a criminal conspiracy, will they rise up and help us bring down Big Oil and thus save the world as we know it?
And if they topple Big Oil, who will make sure that they don't get organized and grow into Big Oil?
This is all a little confusing. I think I will go out for a drive in my motorhome.
No, it's much simpler ... its just 5 guys that go to the same "strip joint" in Houston, and they decide how much to go up at the pump, which is why the price is the same on all 4 stations at the same corner.
What is the 5th guy doing? Is he taking notes on the fluctuations?
I just read somewhere that last year, less new oil was discovered than was consumed. One wonders how close we are to the tipping point where demand starts exceeding supply.
The province of Alberta has enough to supply the entire world for over a century with $100/ oil. After an inital spike of interest the investment is actually now dropping as the government takes it's huge and even worse unpreditable tax grab (Chavez would be proud); the federal government passed 'Green' legislation on the production facilities, the province puts natural gas off limits and business people just give up in frustration.
Just one case of why supply is so low.
There are similar situations in several other areas. It't not lack of reserves, a lot is the political barriers.
The tar sands in Alberta span a known area larger than the state of Florida, if they bothered to explore they would find more. Oh and Sask has large depostis too.
Most prices for oil and gasoline are now driven by the investor/speculator markets. They bid on the commodities based on how they feel about the future and the ability to deliver a product.
When Nigerian rebels hijack an oil derrick, the bid goes up. While Irag has oil and we are getting none of it, the bids go up. When Chavez makes the oil companies state owned with no compensation to them, the bids go up. When the congressional people vote to block drilling in ocean, ANWR and other areas, the bids go up. When congress votes to block the building of refineries, the bids go up.
The effects then causes the country to spend less and the economy slows down. If it slows enough the country experiences a recession. The more that happens the weaker the dollar becomes. As long as the cycle remains unbroken, the economy gets worse.
In the meantime, the investors keep bidding the prices up so they continue to make money on the prices THEY drive. That is what happens when the market is allowed to be a free market. The problem is that the commodities that are REQUIRED by the general public are allowed to roam the market place freely and the consumer is the loser. Some times regulation is required.
The same is true for our natural gas reserves. We have enough of our own natural gas reserves to serve our needs for centuries. BUT we again cannot drill to get them. So we now import LNG from other countries at twice the price we could get for our own reserves. Free market works but cannot work for any commodity that is a required commodity to power our country.
And don't start me on the CORN thing. The government MANDATED Ethanol and now SOY and WHEAT are left ungrown so the farmers can make money selling corn for fuel instead of food. You now see what affect that is having world wide. You are seeing it's affect on the food you buy as cereals and meals. The dairy industry is suffering as well since the feed costs for the cattle is driven by the use of corn for fuel. The whole market place has been upset by the congress intervention in the name of conservation.
A totally unrealistic view of how we can save the planet at a great cost to ourselves and our country. That affects every other country in the world whether they like it or not. We have not seen the end of this!
Frank
I just watched a show on tv last night showing all the cutting edge technology that is out there that will save the world from the increasing energy wows... Like BIG OIL will ever let any of us see it. They will buy up and control all of it, after all as they say "they are not a gas company, they are an energy company". We not only need to free ourselves from OPEC, we need to free ourselves from big business.
Oh and I want to add this...all you brainiacks out there delveoping new types of fuel...if your idea is in someway connected to using our food source...forget it. Bad idea. I don't want to give up my cream cheese and bagle for a ride in the country!!!
* This post was
edited 04/23/08 07:05am by Flyfisherman128 *
Is there a Little Oil? If so, do they only generate misdemeanors?
How do I recognize them for the rascals that they are?
Is their criminal conspiracy Unorganized?
If they are not a criminal conspiracy, will they rise up and help us bring down Big Oil and thus save the world as we know it?
And if they topple Big Oil, who will make sure that they don't get organized and grow into Big Oil?
This is all a little confusing. I think I will go out for a drive in my motorhome.
No, it's much simpler ... its just 5 guys that go to the same "strip joint" in Houston, and they decide how much to go up at the pump, which is why the price is the same on all 4 stations at the same corner.
What is the 5th guy doing? Is he taking notes on the fluctuations?
Good question, but you know it is a strip joint, so one can only imagine. He'd have a stack of $20s though for sure.
I think I will go out for a drive in my motorhome.
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& Mary 
