F... gas prices

[Schneed10]

Originally Posted by dmek25

oh boy. this has to be one of the dumbest things ever posted. we cant fault them? if not, then why, after each quarter, are they declaring record profits? can i blame this administration for not demanding more production from OPEC? who, in your opinion, can i blame? im pissed, and want to vent. as for Exxon wanting to invest their money, i totally disagree. they are in the business to make money. if they wanted to invest, whats the holdup? why wait? and as for drilling in Alaska, the oil companies like it just the way it is. why would they want to find an abundance of oil? that would just cut into their profit margin. your post looks like it came straight out of George Bush's mouth

Bolded part 1: Attacking the post, I can't fault you for that. But I've got to attack yours, not only this one, but nearly everything you've ever posted on this site when it comes to business:

You have no idea what you're talking about. Not even a little bit.

Bolded part 2: They're getting record profits because their supply of oil has remained stable, but the global demand for oil has increased (China and India consuming more) and hence the price goes up. Free market system, not hard to understand.

Bolded part 3: How can the US Government demand more production from OPEC? Do you even understand who OPEC is? What negotiating power does the US Government have over OPEC?? This makes no sense. They can do whatever the eff they want, we have no power there.

Bolded part 4: Who can you blame? Why is anyone to blame? It's an economic force at play. It's nobody's fault. If you want to point at somebody, I guess point your finger at China and India for developing like the United States did from 1930 - 1960. God forbid they make progress.

Bolded part 5: Exxon is investing. They're always searching for drilling spots and in new technologies. But they could invest in Alaska if the government let them.

Bolded part 6: This is the most embarrassing part of your post. It screams lack of education. Profit margin is the % of revenues left over after subtracting expenses. Yes, drilling in Alaska will cut the %. But, last I checked, you don't spend %s. You spend $s. If you invest in Alaska and start drilling, your expenses go up cutting into your %. But the oil they capture also increases revenue, causing profits to increase. If you need me to explain how it's mathematically possible for a % margin to decline while profits go up, then I give up.

That post was embarassing, dmek.

[Sheriff Gonna Getcha]

Originally Posted by Schneed10

Bolded part 3: How can the US Government demand more production from OPEC? Do you even understand who OPEC is? What negotiating power does the US Government have over OPEC?? This makes no sense. They can do whatever the eff they want, we have no power there.

I don't that is entirely correct. The U.S. government has a great deal of influence over middle eastern countries and, by extension, OPEC. For example, many middle eastern countries rely on the U.S. to supply their militaries with arms. Guess who gets to approve or reject the sale of those weapons? The United States Congress. Moreover, if the U.S. ever manages to create a semi-stable security environment in Iraq, the U.S. could pressure the Iraqis to flip the bird to OPEC and start pumping out boatloads of oil. Obviously our influence over OPEC's member countries wasn't great enough to convince them to up their oil quotas, but I think it's inaccurate to say that we don't have any negotiating power.

[steveo395]

This problem could easily be solved if congress would just let us build new refineries and drill for oil in Alaska and off the eastern and western shores. This needs to happen. Our economy is based on the abundance of cheap energy, which is now getting expensive. We need to end our dependence on foreign oil and start drilling here. There is plenty of oil in America for us to use for many many years. I'm all for using alternate sources of energy, but they are just not ready yet. Right now they all suck. If we drill for more oil here, it will give us the time we need to develop alternate technologies. Whether you like it or not, we need to drill for more oil here.

[Schneed10]

Originally Posted by Sheriff Gonna Getcha

I don't that is entirely correct. The U.S. government has a great deal of influence over middle eastern countries and, by extension, OPEC. For example, many middle eastern countries rely on the U.S. to supply their militaries with arms. Guess who gets to approve or reject the sale of those weapons? The United States Congress. Moreover, if the U.S. ever manages to create a semi-stable security environment in Iraq, the U.S. could pressure the Iraqis to flip the bird to OPEC and start pumping out boatloads of oil. Obviously our influence over OPEC's member countries wasn't great enough to convince them to up their oil quotas, but I think it's inaccurate to say that we don't have any negotiating power.

OK point taken, change it from "none" to "very little".

[FRPLG]

Originally Posted by Sheriff Gonna Getcha

I don't that is entirely correct. The U.S. government has a great deal of influence over middle eastern countries and, by extension, OPEC. For example, many middle eastern countries rely on the U.S. to supply their militaries with arms. Guess who gets to approve or reject the sale of those weapons? The United States Congress. Moreover, if the U.S. ever manages to create a semi-stable security environment in Iraq, the U.S. could pressure the Iraqis to flip the bird to OPEC and start pumping out boatloads of oil. Obviously our influence over OPEC's member countries wasn't great enough to convince them to up their oil quotas, but I think it's inaccurate to say that we don't have any negotiating power.

All true and all examples of things that would bring even greater hatred of America in the middle east unfortunately. Our power there is directly offset by their unreasonableness(word?) towards our actons and their willingness to do awful things when we piss them off.