The real reason for the high cost of fuel.

[Bart Simpson]

*cough cough*
Has anyone here lately checked how many billions of dollars oil companies like BP, Shell, and ExxonMobil are making? Billions...
I'll type it again: B I L L I O N S
This has nothing to do with leftist tree huggers or Hillary Clinton supporting lawyers. It actually, at least directly, has nothing to do with Bush either. It is all about oil companies making money for themselves and their stockholders. Think about how cheap our gas would be if the companies would only be earning a profit of five million dollars instead of 5 billion. Food for thought and, oh yeah, nothing we can do about it.

 

[Stinkbug]

"I'm including Dick Cheney and Halliburton in my axis of evil"

-Will Farrell aka George W. Bush

 

[vetteracer]

One word -

CHINA

Look at steel prices? China is undergoing an industrial revolution. They don't care what oil costs, they are happy to get as much as they can.

If you owned an oil feild, would you sell to the highest bidder?

Mark

 

[gern_blanston]

Has anyone here lately checked how many billions of dollars oil companies like BP, Shell, and ExxonMobil are making? Billions...
I'll type it again: B I L L I O N S
This has nothing to do with leftist tree huggers or Hillary Clinton supporting lawyers. It actually, at least directly, has nothing to do with Bush either. It is all about oil companies making money for themselves and their stockholders. Think about how cheap our gas would be if the companies would only be earning a profit of five million dollars instead of 5 billion. Food for thought and, oh yeah, nothing we can do about it.

At 150 billion gallons of gasoline per year used in the U.S. (SWAG) they're looking at a pretty small margin per gallon.

 

[ACT700]

I'm surprised it took all the way to page 3 of this thread for someone to say it!

vetteracer is right: China.

Also, to that I'd like to add: the war.

Think about how much of the oil that is available is going to those two, China and the war.

That's just my 0.03 cents (adjusted for inflation).

 

[gern_blanston]

China.

Miserable Commies!

 

[jetflyer]

This problem is going to make $2.69 look cheap in the next 2-3 years:

About 99% of people in the U.S. haven't heard of Peak Oil. It's time we all learned.
From the New York Times:
http://www.nytimes.com/2005/08/21/magazine/21OIL.html

Jet

 

[JimNtexas]

Peak Oil debunked.

 

[414Flyer]

At 150 billion gallons of gasoline per year used in the U.S. (SWAG) they're looking at a pretty small margin per gallon.

Yeah, but these same people think that oil companies should not be allowed to make a profit. I dont think the percent margin is all that high, if it was, there would be still room for prices to come down thru competion.

Its not the job of the president to give us cheap oil either, but then some people seem to think somehow Bush has some magical power to lower the price of oil, which it is a worldwide commodity.

But then those same types claim Bush sent us to Iraq for cheap oil, now they say the high prices are meant to help oil companies. That clever Bush, he must have a plan for everything...haha

Our oil consumption is our fault more than any elses. I mean what do they want Bush to do? Nuke China and India? Or is Bush supposed to go to the UN and demand India and China cant have cars?

And actually those who are the most against domestic oil production are the ones helping keep oil high and helping OPEC, not those who want increased domestic production and exploration.

 

[gern_blanston]

Good post.

 

[Godvek]

The latest news from OMB is the national debt has been reduced by 30 billion dollars this yr from increased tax revenue. This is a direct result of the tax cuts and more people going to work as a result of the growing economy. If you pull your head out long enough to take a breath of fresh air you will see that Bush's tax breaks are not hurting but helping the economy, that the other party said was in ruins. While I do believe the spending is out of control it is being driven by both parties.

Factor in the cost of the Iraq war (which is not included in our debt) and your 30 billion dollar savings goes out the window. I love people like you, sorta like a wife who comes home full of shopping bags and says, "Honey, I saved $300 today (on $1,000 of spending)."

China and India's market are helping the oil prices go up more than the lefty wacko liberals or George Bush's mafia. Supporting companies like Wal-Mart and others that outsource to China or India also support the higher price at the pumps.

We are still in a job deficit from the year 2000. Many of the newer "created" jobs are also lower income jobs.

The stock markets have not rebounded to the pre 9/11 levels even after 4 years.

Low Interest rates and Real Estate are keeping this economy going right now. Rates are going up every month and some Real Estate markets have already started to pop. As rates continue to rise, this will happen to more and more markets.

The economy is doing OK, but I would not look at it as doing well, and the way oil prices keep esculating the next year or two should prove to be interesting.

 

[dmspilot00]

The high gas prices have not made even the tiniest of dents in U.S. demand, and world demand is still increasing rapidly due to development in China and India. Prices will keep going up as long as demand continues to increase and supply decreases. Despite all of the money the refining companies are making, their capacity has actually decreased.

The U.S. still has the cheapest gas in the developed world. In fact, prices are too cheap. That's why we have people driving their SUVs 90 miles each way to work every single day. Gasoline taxes should have been increased a long time ago, to reduce demand--creating an incentive for people to drive less, for car companies to make cleaner cars, and to find alternative energy sources.

 

[Dizel8]

The US consumes 25% of the worlds oil output, 20 Million barrels a day. China currently is using 7 Million a day.

We need a comprehensive energy policy, the one recently approved is a gnat on an elephants behind, it accomplishes little. We either start now, with some serious steps or we shall remain under the thumb of OPEC. The US could relatively easy reduce oil comsumption by a decent margin, the largest use of oil is the car, so require better fuel standards. Not talking Prius number here, just a 2-5 percent increase in MPG would be a huge start. The US, according to an article in Time, is the only western country, that has seen a decrease im MPG over the last ten years. The cause is of course the SUV/Large Truck, which used to account for 5% of the cars, but is now 53%.

Yes, yes, I know, free country and all, you have a God given right to drive your Hummer, Escalade and you Navigator, but then we will remain under the thumb of those with oil.

 

[Dizel8]

It is intereting to note, that engines used for commercial transportation, ie tankers, semi trucks, airplanes etc. has seen a vast improvement in fuel mileage, while large non comercial vehicles are lagging far behind. Perhaps we could require trucks over a certain size to be diesels or that GM, Ford etc. produce a certain amount of diesel trucks.

As DMS pointed out, and I did read that in other places, is that we could consider raising taxes on gasoline. Yes, I know, such gall, but it would probably cause an increase in fuel efficient vehicles. Now, I hate to use Europe as an example, since they do a lot of strange things over there, however, the average fuel mileage is so much higher.

According to this, the average car in the US is 30-40 percent less efficient than a european car:

http://www.greencarcongress.com/2004/11/average_fuel_co.html

 

[Godvek]

The U.S. still has the cheapest gas in the developed world.

Dubai (UAE) seems to have about the cheapest gas prices in the developed world. It's about half the price as in the USA.