Oil, oil, oil, profits, oil, gouging

[pazarus]

This is not about a low supply of oil. This is not about a high demand. We are paying more for oil because thats what local US oil companies want us to do. They know we are dependent on it, and they have realized they could up the price to European levels and we'd still buy.

If it were just standard supply and demand issues, the oil companies would not be making record profits:



Under standard supply/demand issues, profits should stay roughly the same, and certainly not increase in huge amounts. This graph doesn't even show the most recent quarter, where profits may have increased as much as 30%.

Now in one sense, I can understand that they are a business and they are entitled to raise the price to whatever the hell they feel they can gouge us out of. It's basic economics: the price will lower when their profits lower because fewer people are buying. The problem instead is that they are basically lying through the government to say that it is a "necessary increase" due to extraneous factors. That's just not true, but it keeps people feeling like they have no alternative, so it keeps them buying fuel at record rates.

People need to realize whats implicit in these record profits: they are raising prices because they want to, and they know we won't stop fueling. They have been given a free pass by Bush, including huge tax breaks, and they have a complicit government to back up their price-increasing excuses.

We now have a former oil tycoon as president, an energy bill tailored to their needs, an oil war on our hands, oil companies making record profits, and we are paying for all of it.

If they are working in collusion, why don't the Republicans in office do something to save their jobs? Isn't it obvious to everyone that at this rate there are going to be changes in Washington? Problem is, people don't know who to blame exactly. The right wing will gladly convince themselves that left-wing taxes on fuel are the problem, and they will rail on Democrats for high taxes. Shortly before the 2006 elections, we'll suddenly see some "relief" organized by Bush and Republican incumbents, just in time for their reelections.

They have spent years convincing Americans they can't predict or counter anything the oil markets are doing, but its just not true. We can't let them get away with it.

[cyberpj]

1. Excellent - thank you for posting this. nt.

[NinetySix]

2. Kick!

[BeFree]

3. They will and we won't

No matter, the elections in 2004 showed them they can do anything they want and still get re-elected. They have control of the voting booth and America doesn't care.

In fact, America is rushing out to buy all the oil it can, right now. It's crazy. America thinks if it fills it's tank today, everything is gonna be fine.

This recent 'shortage' is just an experiment by big oil to see what America would do about it, and how we would react. Well, they propagated a little scare and what did we do? We all rushed to get our little bit before it's all gone.

Selfishness and greed, the sign of the times.

[pazarus]

4. In my state, MA, Republican Governor

Mitt Romney is now proudly pushing a plan to get rid of all gas taxes temporarily. Thats 21 cents, by the way, and a perfect example of how Republicans will try to blame this on taxes and liberals.

He is reinforcing the idea that the government is helpless to do anything about the real issue. Look for other states to start doing the same....