"...doing just fine on their own."

[Mr. H.]

Has this President not learned anything about the petroleum industry during his two years in office? Evidently not. For him to make such a blatanly ignorant comment during his State of the Union speech is not only irresponsible, but it sends a very wrong message to America.

"I'm asking Congress to eliminate the billions in taxpayer dollars we currently give to oil companies."

What gives?

Tax preference items? Accelerated depreciation? Depletion? Amortization? Intangible costs?

Oh yeah- he's referring to the myriad of provisions that have been a part of the tax code for decades, all of which are afforded other industries who are doing even "finer" than oil and gas concerns.

I'm absolutely dumbfounded by this guy's short-sighted whimsical jabs, singling out the most critically vital industry in our nation - one that employs over 9 million people and contributes nearly 8% of the GDP.

Did you watch the streaming approval chart when Obamasturbator made these comments?
Democrats had an orgasm. Republicans pissed their pants.

And what would be the fruits of eliminating "the billions in taxpayer dollars we currently give to oil companies"? Would oil imports drop? Fuck no! Domestic production will drop, imports will go up.

If The 'Bator is looking for money, let him start with Agriculture, Investment Banking, Pharmeceuticals, Telecoms, etc. etc. - you know- the industries that reap even more billions in taxpayer dollars.

 

[gekaap]

Production will not drop as long as the demand remains constant, and adverse to the increases in prices that would result from a drop in domestic production. And the past few years have shown us that even though the US still over consumes oil, it has plenty of aversion to rising prices at the pump.

 

[uscitizen]

He may have been referring to the free or bargain basement prices on leases and royalties.

but I am not sure and really do not give a crap what he said. I only care about what is done. I have heard all kinds of hot air BS talk for decades and few actually follow thru with action.
They are more concerned who to blame their failings on that to actually do anything.

 

[Iowa10000]

And you think Obama is stupid? OMG read this woman's life history:Michele Bachmann - Wikipedia, the free encyclopedia

Nutjob, ballonhead, stupid, and the group of people she live with in the Anoka dist is just about the same, at least the ones who keep sending this wackjob back to the congress.

 

[Mr. H.]

He may have been referring to the free or bargain basement prices on leases and royalties.

but I am not sure and really do not give a crap what he said. I only care about what is done. I have heard all kinds of hot air BS talk for decades and few actually follow thru with action.
They are more concerned who to blame their failings on that to actually do anything.

Good point. I too have been hearing the same thing for over 30 years. And it is a finger-pointing game. But why single out oil and natural gas- the two most valuable and useful commodities we have. Petroleum is a base industry- one that all other industries rely upon for feedstock.

But- Carter was successful in implementing the Windfall Profits Tax. It syphoned billions from industry, killed jobs, bankrupted companies, and resulted in failed domestic oil production and increased imports.

Nah- I don't think the Republicans (and many Democrats) would let his proposed budget fly. As it stands, that budget would yank over $40 billion from the industry.

 

[Mr. H.]

Production will not drop as long as the demand remains constant, and adverse to the increases in prices that would result from a drop in domestic production. And the past few years have shown us that even though the US still over consumes oil, it has plenty of aversion to rising prices at the pump.

What good are future revenues if you don't have the financial vehicle today to use in order to assume the risk involved in looking for oil? That's what Obama proposes to do- restructure the tax code only as it pertains to oil and gas exploration and production within the U.S.

Oil prices won't necessarily rise if U.S. production falls. Look at pricing/production graphs for the last 4 decades.

Ah- so that's what it's about, prices at the pump. That's exactly what America looks at when deciding energy policy. The price at the pump. Keep the masses stupid and happy.

 

[Mr. H.]

And you think Obama is stupid? OMG read this woman's life history:Michele Bachmann - Wikipedia, the free encyclopedia

Nutjob, ballonhead, stupid, and the group of people she live with in the Anoka dist is just about the same, at least the ones who keep sending this wackjob back to the congress.

Well, I did pull this from that link you provided:

During the summer of 2008 as national gas prices rose to over $4 a gallon, Bachmann became a leading Congressional advocate for increased domestic oil and natural gas exploration in the Arctic National Wildlife Refuge and the Outer Continental Shelf.

I hardly call that "nutjob" or "stupid".

 

[Mr. H.]

What the fuck. Who gives the Republican response? Paul Ryan from Wisconsin?

Wisconsin? The land of lakes and cow teats.

Not ONCE did he use the word oil, or petroleum, or natural gas. He didn't even address the issue.

What's happened to the Republican party.

 

[AllieBaba]

Obama's master plan all along has been to make oil so exhorbitant that it is too expensive for Americans, thereby catapaulting the alt energy industry to the fore.

It will ruin us if he is able to do it.

 

[Mr. H.]

That's an interesting point, Babs. But I don't think any POTUS has ever had the direct power to influence actual oil prices. However, the power does lie in the ability to affect investment. Investment affects drilling, drilling affects discoveries, discoveries affect production.

Folks should take notice as to exactly who comprises the oil and natural gas industry in the United States - independent companies. Not the "majors"

Independents drill over 80% of the wells in this country, and account for well over 60% of the oil and natural gas production.

These are the people that will suffer at the hands of Obama's cock-eyed policies.

 

[shintao]

Has this President not learned anything about the petroleum industry during his two years in office? Evidently not. For him to make such a blatanly ignorant comment during his State of the Union speech is not only irresponsible, but it sends a very wrong message to America.

"I'm asking Congress to eliminate the billions in taxpayer dollars we currently give to oil companies."

So you are a Socialist??

 

[bucs90]

So........................if the gov't stops giving that billions to oil companies, I have two questions:

- Will oil companies raise their gas prices to offset that loss of revenue? (Yes.)

- Will Obama then sign 300,000,000 checks, made out to the American people, and return that billions of dollars to us........which we'll need to buy that higher gas? (No.)



When will lefties learn that private companies and citizens won't just sit there and take a punch with no response in return?

 

[AllieBaba]

The POTUS doesn't have the power to directly change oil cost...but through things like the imposition of stiff penalties, increased taxes at the pump, shutting down production, blocking refineries, and cessation of subsidies, he might as well be.

 

[Mr. H.]

Has this President not learned anything about the petroleum industry during his two years in office? Evidently not. For him to make such a blatanly ignorant comment during his State of the Union speech is not only irresponsible, but it sends a very wrong message to America.

"I'm asking Congress to eliminate the billions in taxpayer dollars we currently give to oil companies."

So you are a Socialist??

I dunno, am I? I don't understand how that question relates to your quoted text.

So........................if the gov't stops giving that billions to oil companies, I have two questions:

- Will oil companies raise their gas prices to offset that loss of revenue? (Yes.)

- Will Obama then sign 300,000,000 checks, made out to the American people, and return that billions of dollars to us........which we'll need to buy that higher gas? (No.)



When will lefties learn that private companies and citizens won't just sit there and take a punch with no response in return?

If market conditions, as well as traders' positions, cause crude oil markets to rise then it's reasonable to assume that gasoline will go up. It is made from oil after all.

Only the large multi-national integrated oil companies are involved in both upstream and downstream operations. They drill for the oil, and they own the gas stations. Even they are price takers, not price makers.

Disallowing certain tax provisions would reduce revenues, but just as importantly it would dry up investment by the independents - the ones who do most of the work in this country.

300 million checks LOL. Yeah that would probably come to $3 per year per person.

 

[boedicca]

Cutting to the Chase: The Obama Agenda is to have the government picks then winners and losers and to make sure everyone knows it so they will "comply".

 

[draper]

I think the real problems will come when OPEC decides that the dollar will not be the currency of oil, but the yuan. That's when the oil prices will go sky high.

 

[8537]

Cutting to the Chase: The Obama Agenda is to have the government picks then winners and losers and to make sure everyone knows it so they will "comply".

The current "winners" are oil companies, whose product also has quite large negative externalities associated with it. They "win" to the tune of billions in direct subsidies each year.

Obama is recommending putting an end to that "winning" and so-called Conservatives are busy endlessly justifying the subsidy.

 

[Synthaholic]

Obama's master plan all along has been to make oil so exhorbitant that it is too expensive for Americans, thereby catapaulting the alt energy industry to the fore.

That's an excellent plan!

 

[Mr. H.]

Cutting to the Chase: The Obama Agenda is to have the government picks then winners and losers and to make sure everyone knows it so they will "comply".

The current "winners" are oil companies, whose product also has quite large negative externalities associated with it. They "win" to the tune of billions in direct subsidies each year.

Obama is recommending putting an end to that "winning" and so-called Conservatives are busy endlessly justifying the subsidy.

Could you do us a favor and go into a little more detail on those direct subsidies?

 

[8537]

Cutting to the Chase: The Obama Agenda is to have the government picks then winners and losers and to make sure everyone knows it so they will "comply".

The current "winners" are oil companies, whose product also has quite large negative externalities associated with it. They "win" to the tune of billions in direct subsidies each year.

Obama is recommending putting an end to that "winning" and so-called Conservatives are busy endlessly justifying the subsidy.

Could you do us a favor and go into a little more detail on those direct subsidies?

Sure.

A domestic manufacturing tax deduction worth 1.73B
Acceleratated depreciation schedules worth 4B
Tax credit for production of nonconventional fuels (i.e. shale etc...) worth about 2B
Royalties and mineral rights subsidies worth 1-3B

...I could go on...