Anyone feeling the pain at the pump with their JK yet? Post your local gas prices
JK Newbie
Joined: Aug 2011
Posts: 12
Likes: 0
From: Conway, Arkansas
Prices
Don't see how you can say its not the oil companies (at least in part) when they make record profits. I agree that Wall Street speculators have a hand in it too, but really, should big oil make that kind of $? Flat out killing the economy. Poor man doesn't stand a chance. He has to put gas in his truck to go to work. If he doesn't go to his $10 an hour job, he can't pay the rent. Sad when you gotta make decisions to pay the utility bills or buy gas to get to your job.
JK Enthusiast
Joined: Oct 2010
Posts: 200
Likes: 0
From: Calgary, Alberta
Gas prices are a result of speculation that's it. It has nothing to do with anything you mentioned. It is this very ignorance on the topic that contributes to the confusion and frustration of the masses. Price has NOTHING to do with consumption. If you believe that you are another naive lemming. And this drill more shit is bullshit. We get most of our oil from Canada, not the middle east. The Canadians are NOT taking advantage of us. It is our own market speculators who do this. You really need to understand the facts before you stop spewing gibberish.
JK Enthusiast
Joined: Oct 2010
Posts: 200
Likes: 0
From: Calgary, Alberta
Wrong. Speculation works both ways, and can make prices go up or down. But a big factor in the recent runup is the devaluation of the US dollar. Oil is priced in US dollars, and when the value of the dollar drops the price of a barrel goes up. The fed's been pumping dollars into the system to lower the value of the greenback, giving us inflation.
And saying drilling won't help is silly, too - every heard of supply and demand?
And saying drilling won't help is silly, too - every heard of supply and demand?
JK Enthusiast
Joined: May 2008
Posts: 333
Likes: 0
From: VA
Brother you should have looked at where I am from and what I do for a living. I am from Calgary Alberta Canada and I have worked in the oil and gas industry for the last 20 year of my life so I know a little about O&G industry. You are a correct that oil is trading around the world, but you must not understand anything about economics if you believe adding more oil into the market would not reduce the price of oil. I will keep it simple so you can understand if there is one jeep for sale in your neighbourhood and you and two other neighbours want to buy it the price goes up if there are 4 jeep and three buyers the price goes down. It is called supply and demand.
JK Enthusiast
Joined: Nov 2011
Posts: 190
Likes: 0
From: Richmond Virginia
If you want some insight and fascinating history of the oil industry check out Twilight in the Desert.
Drilling for more will not lower the price, just make more money for the oil companies and that's the bottom line.
Drilling for more will not lower the price, just make more money for the oil companies and that's the bottom line.
JK Enthusiast
Joined: Oct 2010
Posts: 200
Likes: 0
From: Calgary, Alberta
Facts about oil
There is no shortage of oil in the middle east, so its not a short supply at all. And I agree that speculation makes the prices go up and down, but in these last several years it has been up. I guess you could theoretically say that more consumption will lead to speculators driving the price up on the bet that it will get sold and everyone won't be riding bikes instead of using their cars. So I guess you taught me something here which is why good debates are educational for everyone. I also agree that when our dollar is worth less that it will buy less oil. But then I wonder why it is so much more expensive in other places whose currency is doing better than the US dollar. The inflation point you make, reminds me of the Reagan era and yes I also agree with you on that.
Brother whether there is extra production capacity in the middle east is not as relevant as you think because oil from mid east is shipped so what you need to know is shipping capacity not production capacity. I know this from experience not because of any hope and change.
The reason we drill farther out to sea is because we can and second because most of North America is not accessible to drilling due to government regulations just go to the Virginia coast and you are looking at massive potential production basin for oil that I am not allowed to explore for because of government.
JK Enthusiast
Joined: Oct 2010
Posts: 200
Likes: 0
From: Calgary, Alberta
Slowing drilling will increase the price of oil making more money for oil companies without the expense of drilling. Come on people common sense first.
JK Enthusiast
Joined: Oct 2010
Posts: 200
Likes: 0
From: Calgary, Alberta
JK Enthusiast
Joined: Nov 2011
Posts: 190
Likes: 0
From: Richmond Virginia
Originally Posted by clarsen
Slowing drilling will increase the price of oil making more money for oil companies without the expense of drilling. Come on people common sense first.
There is no shortage of oil, but there is a shortage of easy to get to light crude oil. If the price goes up it makes it profitable to go after the previously less desirable crude.
But kinda like the "dream" of homeownership if you chose to believe what the networks/powers that be feed us good for you!
Like they say ignorance is bliss!