Problem solved by Kindergarten economics

CuntWaffle

https://twitter.com/davelevitan/status/1501228687928213509?s=21

PurpleThrobber

Maybe the government should just nationalize the oil companies. That's worked out great in Venezuela.

WestlinnDuck

PurpleThrobber said:

Maybe the government should just nationalize the oil companies. That's worked out great in Venezuela.

Yeah, imagine what the US government bureaucracy could do with the oil industry. It would be like how well the US and Oregon Department of Transportations work. Bridges springing up over night and freeways widened in a year. Hell, oil production would just skyrocket.

BleachedAnusDawg

The problem with that tweet is that hundreds of thousands of morons agree with his logic.

Bob_C

PurpleThrobber said:

Maybe the government should just nationalize the oil companies. That's worked out great in Venezuela.

Have seen more than a few suggest that. lHave also seen a lot of price controls suggestions. Unintended consequences galore. People are really dumb.

Fenderbender123

Maybe we can do the math. I'm willing to bet that oil companies aren't even profiting 25 cents for every gallon purchased. either way, obviously that's a stupid solution. Lowering prices for any reason other than reduce in demand or increase in supply will create shortages.

WestlinnDuck

Well, for Exxon Mobile their profit percentage is 8.4%. So completely eliminating their profit on gas at $5 a gallon would reduce the price by 42 cents. And like Venezuela, their oil production would plummet.

SFGbob

Notice how he doesn’t mention getting rid of the Federal and state taxes on fuel.

MikeDamone

Or maybe if people just made more money then they could afford gas.

RaceBannon

The oil will come up and refine itself for free

Oil companies shouldn't profit from the billions they invest to make most Americans soft fucking losers

LebamDawg

it might be kindergarten level, but I was told there would be no maff

GrundleStiltzkin

CuntWaffle said:

https://twitter.com/davelevitan/status/1501228687928213509?s=21

If one thinks that makes cents (lolololoollool), get a load of the per-gallon gas taxes. Savings eight ways to Sunday.

UW_Doog_Bot

Lulz Carter did price controls. It's part of what caused the crisis. Biden really is trying to make Carter not the worst president.

WestlinnDuck

UW_Doog_Bot said:

Lulz Carter did price controls. It's part of what caused the crisis. Biden really is trying to make Carter not the worst president.

When Reagan got rid of the price controls on oil in January 1981, noted economist, Ted Kennedy, said that this would just result in higher gasoline prices. For some unknown reason, the price of gasoline plummeted while the American economy grew dramatically under Reagan.

PurpleThrobber

MikeDamone said:

Or maybe if people just made more money then they could afford gas.

I know - print more money so employees can pay people more money and everything else will stay the same price.

Sledog

46XiJCAB

It's not Joey's fault that gas prices have been on an upward trajectory since the day he was elected. That's why he just sent a staffer to meet with the narco-dictator that the US doesn't even recognize as the legit leader of Venezuela.

WestlinnDuck

Don't worry. The future looks so much better - if you are buying oil futures.

https://www.powerlineblog.com/archives/2022/03/oil-dont-look-now-but.php

OIL: DON’T LOOK NOW BUT. . .
One of my go-to persons on energy is John Kemp, a London-based analyst. (Follow him on Twitter, or you can get on his email list if you like.) His note today examines U.S. oil stocks, and guess what? Our oil sticks are rapidly depleting, in what Kemp calls “the biggest oil shock since the 1970s”

U.S. petroleum inventories are depleting to critically low levels as output fails to keep pace with the rapid rebound in consumption after the pandemic, putting intense upward pressure on oil prices.

Petroleum inventories were depleting at an unsustainable rate even beforeRussia’s invasion of Ukraine and the disruption of Russia’s petroleum exports in response.

U.S. inventories of crude oil and refined products outside the strategic petroleum reserve have fallen in 63 out of the last 88 weeks according to data from the Energy Information Administration (EIA).

Commercial stocks have depleted by a total of 315 million barrels since the middle of 2020, more than offsetting the 204 million barrels accumulated during the first wave of the pandemic and lockdowns.

This chart from his latest chartbook likely portends much more pain at the pump ahead.