Storkysr Posted May 24, 2006 Share Posted May 24, 2006 it's called gouging and it is not based on long-term reality. Similar to a non-skilled union worker being payed $30/hr because he can. Eventually, everybody loses. Quote Link to comment Share on other sites More sharing options...
DrumCorpsFan27 Posted May 24, 2006 Share Posted May 24, 2006 Oh God, go to this link and tell me what OPEC output is.No, what, I'll do it for you since you refuse to engage in analysis. http://www.eia.doe.gov/emeu/ipsr/t21.xls OPEC output is increasing. 2001 30.87 million barrels per day 2002 28.99 2003 30.72 2004 32.92 2005 33.95 Is production increasing? Yes, and it has been since the oil price trough in 2002, when oil bottomed at $15. I've asked this question before, how much has demand increased in comparison? If demand increases more than production, than production is not increasing in relation to demand. Yet, OPEC still decides to produce less than capacity. Quote Link to comment Share on other sites More sharing options...
DrumCorpsFan27 Posted May 24, 2006 Share Posted May 24, 2006 There are a lot of factors that impact the price of gas, very few of which if any are really in control of the oil companies. Out of every gallon of gas, oil companies make a grand total of about eight cents in profit. On average about fifty cents gets sucked up in taxes, more in some states; I think in New York it's around 68 cents, especially since gas is taxed by the dollar rather than by the gallon. The rest of the money that comes out of a gallon of gas goes towards all the costs associated with producing it. When you take a look at how much effort it takes to produce that gallon of gas--seeking it, drilling for it, pumping it out, transporting it, refining it, transporting it again--the price we pay in the end is rather reasonable. Refinery capacity still hasn't recovered completely from hurricane damage, and before that all our refineries were operating at 100% capacity; building more refineries will go a long way to avoiding such future problems and lowering prices. I know it feels good to accuse the oil companies of malfeasance, but the facts just don't back it up. The state and feds get a huge chunk of the money, no doubt. Big oil gets 9.5 cents per gallon, in Wisconsin, the tax is something like 57 cents. I don't know what the feds are getting, but probably a lot more than 9.5 cents. But, these taxes go to maintaining our highway system which is imperitive to our economy. I believe that the refineries are at 100% but, they are not the ones charging $70 a barrel. Quote Link to comment Share on other sites More sharing options...
81regiment Posted May 24, 2006 Share Posted May 24, 2006 I've asked this question before, how much has demand increased in comparison? If demand increases more than production, than production is not increasing in relation to demand. Yet, OPEC still decides to produce less than capacity. David, Go to the DOE website and look it up yourself. OPEC is a cartel, but even they are subject to the whims of the market. They could not stop prices from crashing in 2002. They cannot keep them from rising now. They are 40% of global production now, down from 55% in 1973. Their influence is waning. Quote Link to comment Share on other sites More sharing options...
DrumCorpsFan27 Posted May 24, 2006 Share Posted May 24, 2006 Here's the production history - from OPEC's 2004 Statistical Bulletin.http://www.opec.org/library/Annual%20Stati...tin/asb2004.htm 1980 26.5 MMBD (million barrels per day) 1981 22.2 1982 18.7 1983 16.6 1984 15.9 1985 14.9 1986 17.6 1987 16.7 1988 18.8 1989 20.4 1990 22.0 1991 22.2 1992 23.8 1993 24.2 1994 24.6 1995 24.6 1996 24.8 1997 25.4 1998 27.7 1999 26.2 2000 27.7 2001 26.9 2002 24.3 2003 26.8 2004 29.6 So from 1993 to 2000, during Clinton's superb display of geopolitical chest thumping, OPEC production went from 24.2 MMBD to 27.7 MMBD, a difference of 3.5 MMBD. Over 8 years, this is .4375 MMBD. During Bush, OPEC production has gone from 26.9 MMBD to 29.6 MMBD, a difference of 2.7 MMBD. Over 5 1/2 years, this is .4909 MMBD. So....if you want to play this inane game of who wields influence...it ain't Clinton. FYI, under Bush I, OPEC production went up 5 MMBD in the 4 year period from 1988 to 1992. Facts are stubborn things. I ask for the third time, how much did demand increase during those times? Quote Link to comment Share on other sites More sharing options...
81regiment Posted May 24, 2006 Share Posted May 24, 2006 But, these taxes go to maintaining our highway system which is imperitive to our economy. Do you really believe that? Our roads should be the best in the world if that is true. I believe that the refineries are at 100% but, they are not the ones charging $70 a barrel. You're right - they're BUYING oil at $70 a barrel! Quote Link to comment Share on other sites More sharing options...
DrumCorpsFan27 Posted May 24, 2006 Share Posted May 24, 2006 David...let me repeat this again: I didn't bring Bush and Cheney into this. You did. You made the $85 million claim. Where did you get that information? Another poster quoted $100 million.I left them out because they are inconsequential to the analysis. If you wish to hold me to the standard of providing a source, I think I have demonstrated the ability to do just that. Where's yours? If network news is your source...good Lord... Again, you asked for a source and I provided it. You say it doesn't count. Show that it is wrong. What is your source to claim mine is wrong. I have provided a source stating what Bush and Cheney have in oil. You have not. Quote Link to comment Share on other sites More sharing options...
81regiment Posted May 24, 2006 Share Posted May 24, 2006 I ask for the third time, how much did demand increase during those times? Go look it up yourself - you won't hear it on the mainstream media. I've done enough work for you. Quote Link to comment Share on other sites More sharing options...
81regiment Posted May 24, 2006 Share Posted May 24, 2006 Again, you asked for a source and I provided it. You say it doesn't count. Show that it is wrong. What is your source to claim mine is wrong. I have provided a source stating what Bush and Cheney have in oil. You have not. I'm not disputing that they have a ton of money invested. http://www.cbsnews.com/stories/2006/05/16/...in1620802.shtml Yikes. Quote Link to comment Share on other sites More sharing options...
DrumCorpsFan27 Posted May 24, 2006 Share Posted May 24, 2006 Do you really believe that? Our roads should be the best in the world if that is true. Have you traveled in a third world country? You're right - they're BUYING oil at $70 a barrel! And who is charging $70? OPEC. Quote Link to comment Share on other sites More sharing options...
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