Windfall Oil Profits; the Wind

[dalonzo9]

Here is a nice article on the Senate hearing on oil prices: http://www.msnbc.msn.com/id/24757944.

Nice to read that those oil execs got grilled by the Senate. However, I see no change in the near future. The fact that Peter Robertson was "proud of his company’s investments in future supply," says not much about making a smooth transition from

Comments

[dalonzo9]

Certainly much to weep about as we move further into the post-American century....

[dalonzo9]

Haha, food is definitely good.

[sleepysmurfette]

the real hilarity is all this "record breaking profits" - if you look at the margins most oil companies get (even the exxon mobils of the world) its a smaller than or equivalent percentage as any other industry. Congress just wants to look like a champion since they have the lowest approval ratings in history.

Whats really funny is look up the tax breaks and profit margins of ethanol manufacturers, as of about a year ago they were pulling in a dollar a gallon on average PROFIT. whereas, a smaller gas station or oil company makes between 2 and 5 cents a gallon.
Also credit card companies i think drive up the prices, because they charge a percentage, which obviously increases as price increases. Gas stations dont make a percentage however, they operate on a fixed margin.. so they end up paying more to credit card companies than they are making in profit (thats why there are cash discount prices).. most stations make almost their entire profit from candy bars and bullshit sold inside.

Way too long. Sorry.

[dalonzo9]

Not at all! That was very informative. I had no idea profits were so bad for gas station owners. This is like the energy crisis of the '70s all over again.

[sleepysmurfette]

yeah and its like.. china and india take subsidies for their citizens use of oil, which drives demand in the world market because they, unlike us, are not paying out the ass.
Its retarded now, like the price increases are all market based they have almost nothing to do with supply and demand.. damn weakening dollar and global demand, middle east bullshit bla bla...Its easy to be like fuck that guy who is making a million bucks.. but hes making a million off a ten million dollar investment in a volitile county, i wouldnt risk it

[frugee]

It seriously annoys me how much power OPEC has over the world. It's basically OPEC driving all of this, although the individual oil companies here could seriously take more of the hit.

It also drives me crazy that the government is so impotent. It's more annoying to me that the Senate calls these hearings with essentially no results. Hey, we'll bring them in and yell at them a lot. Yeah, my pump price is still rising.