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77% Want Increased Domestic Oil...

2

Comments

  • death2ducksdeath2ducks Member Posts: 991

    Also I lol'd @ 87% of Americans thinking increased drilling would lower energy costs for consumers.

    It would. It is somewhat inelastic, but there is still a demand curve that matters. What do you think would happen if the government Putin price a price ceiling? Shortages.

    It would also be lower if the government didn't make more off a gallon of gas than the oil company.

    The Federal Reserve has more to do with the price than any other entity.
    The price of oil is set by futures trading and any increase in supply would be largely insignificant.

    Since Obama took office US oil production has reached an all time high, and the price of oil and overall energy costs have greatly increased:

    image

    Point being Obama sucks at energy costs and global warming issues and he can suck a little less by trying to decrease US production that would really do nothing but line the pockets of the major oil manufacturers.

    Finance is my #Wheelhouse.
    You can make the same stupid argument about ANY commodity. BTW, I thought your wheelhouse was Pension Fraud?

    law.cornell.edu/uscode/text/18/1954
  • I'm a young Madoff without the Jewishness.
  • MikeDamoneMikeDamone Member Posts: 37,781
    Collegedoog isn't an Econ major I see.
  • doogsinparadisedoogsinparadise Member Posts: 9,320
    Here's the thing, oil is a global market, so when you pump more oil out of North Dakota it goes right into the World's milkshake, and all of these little straws from China, Brazil, and Japan, etc reach out and drink it all up. So at best you're lowering the cost of a gallon by a few dimes. Not even going into how OPEC would respond to such a change in policy from Washington, but I would surmise that they would cut or plateau production to prevent a drop in prices.
  • I have more Econ knowledge in my pinkie toe than you keyboard cowboys.
  • Here's the thing, oil is a global market, so when you pump more oil out of North Dakota it goes right into the World's milkshake, and all of these little straws from China, Brazil, and Japan, etc reach out and drink it all up. So at best you're lowering the cost of a gallon by a few dimes. Not even going into how OPEC would respond to such a change in policy from Washington, but I would surmise that they would cut or plateau production to prevent a drop in prices.

    It's all about the dollas. The market is at equilibrium and they're not going to produce for the sake of producing. They're gonna maximize profit.

    In the meantime it's best to ease off reliance on fossil fuels because reserves are expected to shrink in the near future.

    Econ 101 for Damone.
  • HFNYHFNY Member Posts: 5,106 Standard Supporter
    More oil production = more jobs, more profits, and more tax revenues.

    It also decreases the power of countries who don't like us, such as Iran, Venezuela, and Russia.

    Natural gas continues to be a big story and I hope they'll start capturing it more (rather than flaring it in the Bakken when oil drilling because prices aren't high enough and they don't have the infrastructure).
  • MikeDamoneMikeDamone Member Posts: 37,781

    I have more Econ knowledge in my pinkie toe than you keyboard cowboys.

    Lol. Yeah ya do.
  • MikeDamoneMikeDamone Member Posts: 37,781

    Here's the thing, oil is a global market, so when you pump more oil out of North Dakota it goes right into the World's milkshake, and all of these little straws from China, Brazil, and Japan, etc reach out and drink it all up. So at best you're lowering the cost of a gallon by a few dimes. Not even going into how OPEC would respond to such a change in policy from Washington, but I would surmise that they would cut or plateau production to prevent a drop in prices.

    It's all about the dollas. The market is at equilibrium and they're not going to produce for the sake of producing. They're gonna maximize profit.

    In the meantime it's best to ease off reliance on fossil fuels because reserves are expected to shrink in the near future.

    Econ 101 for Damone.
    Embarrassing. You should stop.
  • MikeDamoneMikeDamone Member Posts: 37,781

    Here's the thing, oil is a global market, so when you pump more oil out of North Dakota it goes right into the World's milkshake, and all of these little straws from China, Brazil, and Japan, etc reach out and drink it all up. So at best you're lowering the cost of a gallon by a few dimes. Not even going into how OPEC would respond to such a change in policy from Washington, but I would surmise that they would cut or plateau production to prevent a drop in prices.

    It's all about the dollas. The market is at equilibrium and they're not going to produce for the sake of producing. They're gonna maximize profit.

    In the meantime it's best to ease off reliance on fossil fuels because reserves are expected to shrink in the near future.

    Econ 101 for Damone.
    I like to say the market is at equilibrium right after I say increased supply hasn't caused prices to drop....that's what I like to do.
  • What does our oil industry expert @Mad_son have to say about it?
  • [Deleted User][Deleted User] Posts: 0
    edited December 2013
    Demand curve determines equilibrium.

    Demand curve is elastic.

    Price won't deviate much based on increases in supply.

    Besides the poont is moot because oil prices are determined on Wall Street.

    Hth Damone.

    You can stop embarrassing yourself.
  • MikeDamoneMikeDamone Member Posts: 37,781
    edited December 2013

    Demand curve determines equilibrium.

    Demand curve is elastic.

    Price won't deviate much based on shifts in supply.

    Besides the poont is moot because oil prices are determined on Wall Street.

    Hth Damone.

    You can stop embarrassing yourself.

    The demand curve is elastic and the price won't deviate much on shifts of supply? Lol. You're arguing against yourself. I don't think you know what elasticity of demand means.
  • [Deleted User][Deleted User] Posts: 0
    edited December 2013
    Edit: fuck me I'm drunk on a Thursday.

    Meant to write inelastic, happy? Phone autocorrected.

    Either way, increases in domestic production would be so minimal that price would stay the same. Like doogsinparadise pointed out oil is a global commodity and there's no need to increase production at the moment, so any US efforts to increase drilling would be met with international efforts to keep the price the same.

    Everyone will still fill up their tank per usual if gas is $3 or $5 a gallon because there are no substitutes to oil.

    Companies can fuck with us however they like to maximize profit. That's my point.

  • dncdnc Member Posts: 56,789

    Demand curve determines equilibrium.

    Demand curve is elastic.

    Price won't deviate much based on increases in supply.

    Besides the poont is moot because oil prices are determined on Wall Street.

    Hth Damone.

    You can stop embarrassing yourself.

    When did you decide to go the self parody route?

    Looks like you're starting to miss those Middlebury chicks. When do you go back east?
  • [Deleted User][Deleted User] Posts: 0
    edited December 2013
    dnc said:

    Demand curve determines equilibrium.

    Demand curve is elastic.

    Price won't deviate much based on increases in supply.

    Besides the poont is moot because oil prices are determined on Wall Street.

    Hth Damone.

    You can stop embarrassing yourself.

    When did you decide to go the self parody route?

    Looks like you're starting to miss those Middlebury chicks. When do you go back east?
    In 10 days.

    To daily skiing and J term. Life will be good.
  • MikeDamoneMikeDamone Member Posts: 37,781

    Edit: fuck me I'm drunk on a Thursday.

    Meant to write inelastic, happy? Phone autocorrected.

    Either way, increases in domestic production would be so minimal that price would stay the same.

    Everyone will still fill up their tank per usual if gas is $3 or $5 a gallon because there are no substitutes to oil.

    Companies can fuck with us however they like to maximize profit. That's my point.

    Nice try. Stop now.
  • PurpleThrobberPurpleThrobber Member Posts: 44,514 Standard Supporter

    I have more Econ knowledge in my pinkie toe than you keyboard cowboys.

    Meet a payroll and then pop off.
  • doogsinparadisedoogsinparadise Member Posts: 9,320
    Matt Damon is doing an awesome job dissembling about what can be done with oil prices. Inquiring minds would like to hear solutions rather then bitching, but to each his own.
  • dncdnc Member Posts: 56,789

    Matt Damon is doing an awesome job dissembling about what can be done with oil prices. Inquiring minds would like to hear solutions rather then bitching, but to each his own.

    https://www.youtube.com/watch?v=BUa5oHgYV2k

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