Who Gets the Credit for the Drop in Oil Prices Lately?

I think Supply and Demand is widely recognized as the main driver of oil prices. That americans dropped usage by several percent this summer saved us way more money than the tax holiday would have.

Anyone that claims that one party or the other is driving prices probably has a political agenda.
 
Demand (watch OPEC and production drop too, if it goes down a lot further very quickly)
Dollar Strength fluctuation back
Bush's removal of ban (effects speculators)
Build up in inventory in storage/refineries/etc
New exploration
and a lot more...
unlike what some people would like to spout off... the influences are many
 
Demand (watch OPEC and production drop too, if it goes down a lot further very quickly)
Dollar Strength fluctuation back
Bush's removal of ban (effects speculators)
Build up in inventory in storage/refineries/etc
New exploration
and a lot more...
unlike what some people would like to spout off... the influences are many

Exactly. If there's one group that could of done more it was Congress. They should of voted on lifting the ban before going on vacation.
 
Exactly. If there's one group that could of done more it was Congress. They should of voted on lifting the ban before going on vacation.
Why, so foreign companies could drill off of our shores?

What brought oil down was that people stopped using so much of it.
 
Why, so foreign companies could drill off of our shores?

What brought oil down was that people stopped using so much of it.

No Kirk... oops... not Kirk this time ;)

Ravi... it is not just our driving or our usage.... it is multi-faceted

Opening up more drilling for supplies to come in when tapped will help with the speculation and the price...

And it would not be just 'foreign oil companies'...
 
No Kirk... oops... not Kirk this time ;)

Ravi... it is not just our driving or our usage.... it is multi-faceted

Opening up more drilling for supplies to come in when tapped will help with the speculation and the price...

And it would not be just 'foreign oil companies'...
No, of course it wouldn't just be them. But they are welcome to bid on the leases. And since oil is sold on the world market, it is in their best interests to sell it to the highest bidder.

At least you all have stopped using the ridiculous notion that any oil drilled off our coasts would belong to we the people and we'd get to set the price.
 
the other point that is not often mentioned, is that at the most, US production would go from 2% of the world market to 4% of the world market, if we immediately tapped all our potential sources.
 
No, of course it wouldn't just be them. But they are welcome to bid on the leases. And since oil is sold on the world market, it is in their best interests to sell it to the highest bidder.

At least you all have stopped using the ridiculous notion that any oil drilled off our coasts would belong to we the people and we'd get to set the price.

You all??

Hell.. I've been saying about the global market of oil (like it or not, it's what we have) all along...
 
the other point that is not often mentioned, is that at the most, US production would go from 2% of the world market to 4% of the world market, if we immediately tapped all our potential sources.

Most speculation has our untapped reserves, that are known, at about the level of the reserves of Saudi Arabia... it is significant
 
It's funny how Liberals cry that increasing supply by drilling won't lower the price but lowering the demand will... So according to liberals there is no supply and demand????? It's only demand? I've never heard of that theory... Interesting... Seems to me that you are contradicting your argument.
 
What makes you think Bush and the Republicans had anything to do with gas prices?

Just wanted to include a liberal response so the question didn't seem so one sided... Anyone who knows anything about economics understands that if you increase supply, or lower demand prices go down.
 
It's funny how Liberals cry that increasing supply by drilling won't lower the price but lowering the demand will... So according to liberals there is no supply and demand????? It's only demand? I've never heard of that theory... Interesting... Seems to me that you are contradicting your argument.


Which liberals would those be?
 
Just wanted to include a liberal response so the question didn't seem so one sided... Anyone who knows anything about economics understands that if you increase supply, or lower demand prices go down.

Well...supply and demand are certainly a big PART of the equasion, of course.

But how do you explain the enormous spike in prices when demand had been going down?

Not that you're not right about supply and demand, merely that in the case of oil recently, clearly there is more going on that just those things.
 
If there was a shortage of oil increasing the supply would lower the cost. There is no shortage, so the producers are free to slow down production whenever they choose to keep prices high. And if you think they don't do that already, you aren't very bright, KMAN.
 
If there was a shortage of oil increasing the supply would lower the cost. There is no shortage, so the producers are free to slow down production whenever they choose to keep prices high. And if you think they don't do that already, you aren't very bright, KMAN.

That's what I said... You only believe in demand lowering prices not supply.
 
That's what I said... You only believe in demand lowering prices not supply.
huh? Why don't you explain exactly how you think allowing drilling by US owned companies and foreign owned companies will lower the price of gas at the pump.
 
Drilling is the first step to American independence on foreign oil. The sooner we drill, the sooner we can stop fighting wars for oil, the sooner we can stop spending money on foreign oil, and the sooner we can focus our time on cleaner, cheaper, and renewable resources. But as long as we're having to scrape and fight for the energy we have, we don't have the time, energy, or money to focus on alternative sources.
 

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