Why do Republicans think drilling for more oil will somehow lower the gas prices?
The way NAFTA is set up,
the highest bid buys the oil
no matter what country
McCain likes the free trade
the way it is, and doesn’t want
any changes to it
So if the Saudis out-bid Exxon/Mobile,
we will still pay roughly the same high
prices for gasoline
only it will be the Saudis selling us
what is supposed to be our own oil
September 14th, 2009 at 3:33 pm
It is called supply and demand. The same reason that gold and silver are worth something. The more there is the less it’s worth, (Sand), the less there is, the more it’s worth, ( Plutonium). That is the simple truth of our global economy. So we flood the market with oil, it’s less valuable and the price drops. Reminds you of the dollar doesn’t it!
September 14th, 2009 at 3:33 pm
Increase supply, price goes down.
September 14th, 2009 at 3:33 pm
Trying to recover their image.
Too bad it’ll take 10 years.
September 14th, 2009 at 3:33 pm
The act of drilling would in fact, take some of the wind out of the speculators sails and bring down the price a little. The problem is that there are plenty of drill site still leased in the lower 48 that are not being taken advantage of. Why drill in a sensitive area when we don’t HAVE to?
September 14th, 2009 at 3:33 pm
Just the fact that it is seriously being discussed in the U.S. has led to a record drop in the price of a barrel of oil. Since we are in a global market, the price will still be the same for domestic oil as it is for Saudi oil. It should drop the price of oil because of increased supply.
September 14th, 2009 at 3:33 pm
gas prices are already coming down with the threat of drilling. maybe you should think before you ask a question.
September 14th, 2009 at 3:33 pm
Here ya go, educate yourself: http://en.wikipedia.org/wiki/Supply_and_demand
In addition to that, the futures market is based on perception. If the perception is that supply will be tight, prices go up. If the perception is that supply will be ample, prices go down. A terrorist attack takes out a oilfield in Niger, then the perception is that the oil supply will tighten…prices go up. When Bush calls for more drilling in the US AND 70+% of the public is behind him, the perception is that the supply of oil will increase…and prices go down.
September 14th, 2009 at 3:33 pm
They dont’.
The numbskull retards claiming the Executive Order for drilling brought about lower oil prices are completely lost for understanding correlation doesn’t mean causation
Republicans refused to put 10% of the Strategic oil Reserve on the market to discourage speculators attacking national secuarity. Previous releases from the reserve worked before to bring down prices, nothing like ignoring that fact when it doesn’t benefit the oil companies. Real bunch of scumbag hypocrites whoring for business
September 14th, 2009 at 3:33 pm
It won’t itll just encourage the rest of the world to use more.
September 14th, 2009 at 3:33 pm
If they’re wrong, we can vote them out of office. I’m for giving it a shot.
September 14th, 2009 at 3:33 pm
It’s not Republicans, it’s Economist who are saying this. And I’ll trust an Economist over any politician.
September 14th, 2009 at 3:33 pm
I agree that drilling for oil will not lower the gas prices in the short run. But it will in the long run. We should have started drilling for oil 10 yrs. ago.
Just because it won’t help us in the short run now isn’t a good reason for not drilling now.
September 14th, 2009 at 3:33 pm
Republicans think putting an oil drill under the pillow at night will bring the oil fairy to come and fix all the problems that the Bush dynasty has created.
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Gas prices have fallen because people are driving less. Metro transit system here is now packed in DC area and I am sure it is doing the same in other areas.
September 14th, 2009 at 3:33 pm
They are going to believe what they are programed to believe. Facts have NO meaning to them, the daily spin that is being peddled that day is what they live for. Any attempt to educate them will be met with more spin misrepresentations half truths and lies the same kind of bushit that got us into the mess we are in, in Iraq.
September 14th, 2009 at 3:33 pm
Did you happen to notice when Bush lifted the executive ban on off shore drilling prices have went down by $20 a barrel. Why won’t Congress follow his lead? Are they just to stubborn to realize he’s right along with countless other Republicans. McCain has already said he will vote for more drilling and Obama has said he wouldn’t. That’s why the dems are terrified of an up or down vote on this matter. Obama will have to change his mind on it or he will be voting against the overwhelming majority of the people. Dem’s are in the back pocket of the environmental groups and they do as their told it seems. They better wake up and give us some relief or we the people will be forced to relieve their sorry azzes of their job!!!! The dems in their stubbornness should realize that if it just looks like we are going to do something prices will come down. I guess they will continue living up to their name as the "do nothing Congress"….
September 14th, 2009 at 3:33 pm
No kidding. Besides, we just saw the largest weekly decline in oil prices – ever. and the effect at the pump was only pennies.
Nothing will bring a substantial reduction in gas prices.
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Bo P –
So what? The executive ban he lifted (the one enacted by his own father) requires Congressional approval.
That would mean oil prices dropped because speculators thought the so-called "Democratic controlled" Congress was going to act on Bush’s irrelevant action.
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LeAnne –
And the Saudis told Bush to screw off and go home.
September 14th, 2009 at 3:33 pm
The increased supply will lower the price, regardless of its source. That’s why Bush went to the Middle East to try and lobby for more production.
September 14th, 2009 at 3:33 pm
Increase the world supply and prices go down, assuming demand doesn’t rise at a faster rate. Economics 101..
September 14th, 2009 at 3:33 pm
Attributing the recent price drop to President Bush revoking the presidential ban on coastal drilling makes no sense.
- if it is a reaction at all, it indicates that speculators are bubbling the price up on news. Since demand did not change "Supply and Demand" in relation to his announcement makes no sense.
The result of giving permission in increased supply is a decade away. Implementing stricter fuel efficiencies in cars would be faster at changing demand.
September 14th, 2009 at 3:33 pm
Only allow American owned and controlled companies to drill and refine on American soil Sell to America first until we are no longer dependent on foreign oil. At the same time require investment in alternate energy resources by both the oil co and the government.
September 14th, 2009 at 3:33 pm
NAFTA has nothing to to with the worlds price of oil, North American Free Trade Agreement isn’t world wide.
Its the free market that dictates what price the oil companies charge, and its our weak dollar that makes it more expensive for us now. And speculators.
Once you sell something its not yours anymore. We sold our oil rights to different oil companies. They do the drilling shipping and refining. They get the profits. The US government doesn’t have a piece of any ones action in this.
That’s why its not our oil even if its under our land, and that’s why oil companies aren’t going to drill so we can fill up our SUVs cheaper than they can get in China.
There are no American controlled or wholly owned oil companies. And if there were, and they fixed the prices lower to sell here, their stockholders would be within their rights to dump them. Business is in business to make as much money as possible for its stockholders. Not to give away the store to your cousin.
The idea that the threat of allowing drilling when the first drop wouldn’t be refined for lets say five-ten years, is mind numbingly stupid. Oil futures aren’t that far in the future
September 14th, 2009 at 3:33 pm
Rather uneducated and simplistic understanding of a commodity. You don’t even need to remove a drop of oil for drilling to have an impact. When you have a single source for any product the producer has an unequal advantage. Enter competition (liberals hate that word) and there is a fear or realized expectation of the dollars going to others. Do you even know what NAFTA is???
But stick to that dnc web site or the Obama indoctrination spew and you will never fully understand how things in a market economy works.
September 14th, 2009 at 3:33 pm
I don’t think that’s why they’re pushing it–I think they’re pushing for more drilling precisely because the price of oil is at an all-time high, so greater supply equals greater profits.
Those who assume that higher supply equals lower price ignore one fundamental thing–nobody is going to sell something for $2.39 when he knows he can get $4.50 for it. Gold is no more rare today than it has ever been, and the price is up. The "record drop" in oil prices that some are talking about is due more to people’s changing behavior in the face of all-time high prices than to rumors of new supplies from Alaska.
September 14th, 2009 at 3:33 pm
Lets try and make this really simple. You have 2 apples, and
3 people. They all want your apples. So they start bidding
on your 2 apples. There go’s the old price.
But now you have 25,000,000 apples and guess what. you
price is now in the tank. Its called Supply out weighs demand.
The Oil Prouducing countrys are limiting output, Which means
what look up. to the 2 apple part.
So when Bush said what he did last week. And what the dems failed to do this week. Is to allow us to supply our
own demand.. Leaving the terroist and third world country’s
in the damn drivers seat.
Drilling now in this country will save us heavily in just 5
years.
September 14th, 2009 at 3:33 pm
I really don’t care as I pay
.08 per gallon
Thats right I said .08 per gallon
I found the info on YouTube by searching
"pay 1940 prices for gas impossible"
I was skeptical too BUT I bought it as it was only $10.00 at that time
It works
You should try it — and NOT SAY
this can’t be on the level
IT IS