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The demand (expansion of energy use in Asia) is driving price, more usage is driving prices, when the demand is at capacity any potential disruption in supply will explode prices.
As in any case of supply and demand lowering price can only be accomplished by reducing demand ( ie shrinking the economy)
So cogent... but then, this:
Quote:
Originally Posted by patsfan13
or expanding supply (Alaska cloud be the 8 biggest supplier of oil on the planet) drilling and working on converting coal to gas economically.
Everything else is noise.
Actually, ^ this is also noise. Especially the part about Alaska.
Anyhow, it is BOTH a supply AND a demand problem, simultaneously. Even the EIA admits it.
And it will get worse.
Last edited by Titus Pullo; 02-27-2011 at 07:48 PM..
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Actually, ^ this is also noise. Especially the part about Alaska.
Anyhow, it is BOTH a supply AND a demand problem, simultaneously. Even the EIA admits it.
And it will get worse.
Yes due to a lack of political will and misinformation from the eco lobby.
There is the coal to liquid fuel process coming out of UT Arlington and of course the Fischer–Tropsch process. While more expensive than the old oil model it is much less than $150/bbl oil.
We are using coal to create electricity along with drilling we should be using coal to convert to oil. We should use nuclear for electricity.
Good article on prossible process to burn spend nuclear fuel.
__________________
"Some guys play in all-star games, some guys don't. I don't know who picks all those all-star teams. In all honesty, I don't know who picks the combine, for that matter," Belichick said. "How does (Miami-Ohio offensive lineman Brandon) Brooks not get invited to the combine? How did Vollmer not get invited to the combine? I don't know. We can't really worry about that. We just have to try to evaluate them the best we can."
That's true to some extent. Tick enough people off at the same time, however, and it might be a bit different.
There's only so much people can sacrifice, though. They might vacation closer to home - or give up vacation altogether - but they're not going to quit driving to work or picking up their husband at the train station. They won't quit visiting Grandma in the nursing home or driving the kids to the orthodontist appointment or anything else that's vital. They'll give up other "luxuries" before they'll do that. Buy less soda, cut out the stop at MacDonalds, not buy the new TV they wanted but didn't really need.
The gas companies have us over a barrel - and they know it.
I kinda look at it like going on diets. They never work. It requires sustained life style changes, not some fad cause to get you through the summer driving season....then it's right back to the same old things especially if the prices drop. You're right though. A vacaion once or twice a year and the vists to grandma need not be the things that are sacrificed. Smarter everyday decsions add up to whole lot more than those. I'm not letting big oil of the hook by any means but we rationalize and deflect from our own watse by pointing fingers there.
Last edited by PatsWSB47; 02-27-2011 at 08:44 PM..
I think the strategic problem with it is that as they drop prices by the pennies, more and more people will start shopping there. It could bring gasoline down a few cents, perhaps, but after that the unity of the people would fail. In fact, in general consumer boycotts do not work, because not enough people are willing to go along.
This wont work, simply becuase to many other products are made from oil. They also sell to other corporations, etc... and they Sell worldwide... so your probably only hurting a small small percentage of their sales.
It wont work. Oil companies run on really small margins, typically less than 6%. Granted, 6% of all that oil is a lot of money, but still, its a pretty tight margin. The controlling factor is the producers. The oil owning companies domestically produce just a faction of what we consume. The producers of volume are OPEC, and they are nationalities setting price and volume to control the market. Its not a free market. So you dont buy Exxon Mobil? OPEC sells it to Shell for the same price and they make their 6%.
You are right, all you are doing is hurting your local small businessman who has his price set for him, too.
There is no such thing as a small, independent Mobil or Exxon gas station. These 2 companies only operate corp. locations.
So Joes Service Station can't sell Mobile or Exxon gasoline...you absolutely don't have to worry about hurting any "Little Guys" if you boycott Exxon and Mobile.
So, I say go for it!!
__________________ "No one walking this earth knows what is truly righteous"
Actually, ^ this is also noise. Especially the part about Alaska.
Anyhow, it is BOTH a supply AND a demand problem, simultaneously. Even the EIA admits it.
And it will get worse.
The rise in oil/gas prices isn't due to increased demand as much as it is Ben Bernanke's Quantitative Easing policy.
QE has resulted in a commodities bubble AND it has driven down the value of the US dollar. Since the price of oil is based upon the dollar, it's only natural to see the price of oil rise since the inception of QE2.
__________________ "No one walking this earth knows what is truly righteous"
There is no such thing as a small, independent Mobil or Exxon gas station. These 2 companies only operate corp. locations.
So Joes Service Station can't sell Mobile or Exxon gasoline...you absolutely don't have to worry about hurting any "Little Guys" if you boycott Exxon and Mobile.
So, I say go for it!!
Exxon and Mobil sell to company distributors. They did sell franchises up until 2008 but then got out of it.
I don't think that means that independent gas station owners don't buy gas from Exxon or Mobil or advertize their products, does it?
Friday, June 13, 2008
Exxon Mobil said yesterday it would sell off the 820 U.S. gasoline stations it operates and the land it owns under 1,400 additional franchise stations but hopes to keep selling its brands of gas by getting company distributors to acquire the stations.
Consumers aren't likely to notice any outward difference in the stations, and about 9,200 other Exxon Mobil stations will not be affected. Those stations are owned and operated by distributors, who deliver fuel and often own several stations.
But it will mean the end of small independent gasoline station operators such as Sohaila Rezazadeh, who owns an Exxon franchise in Oakton but pays rent to Exxon, which owns the land
We Have Oil In The Ground, it's been there for a long time, the problem is some rabbits living there and their little families keep building their homes there, if we could find a way to help the rabbits relocate to a new home then we could dig our Oil up.
I see fields of green
Red roses too
I see them bloom
For me and for you
And I say to myself what a wonderful world
F-cking Idiots
__________________
Harry Boy (Genius)
In The Absence Of Law And Order Society Will Surely Destroy Itself
We Have Oil In The Ground, it's been there for a long time, the problem is some rabbits living there and their little families keep building their homes there, if we could find a way to help the rabbits relocate to a new home then we could dig our Oil up.
I see fields of green
Red roses too
I see them bloom
For me and for you
And I say to myself what a wonderful world
F-cking Idiots
Have any proof to back that up? According to all the information I have read, the United States peaked in Oil Production back in the 60s. Since then we have had to steadily import more and more oil in order to meet the demand.
Knowing our current ( and historical ) political process, if there was billions to be made, it would happen by now easily by paying off the right people in congress.
My thinking, and evaluation of the "Drill Baby Drill" debate, is that it's simply a red herring in order to distract us from the reality of the Oil / Energy issues facing our country.
So, I ask you to show some proof, or contribute to the discussion by putting in some effort and show your work, rather than simply saying "F#$K the Liberals it's their fault", because honestly, your shtick is getting beyond tired and old...
Re: Gas prices: would this work?
Linear Mode
