So you're for oil companies getting a subsidy?
Exxon just posted record profits.
Don't you just love the intelligence/logic of the Left-)
So let us make Candy the owner of a company. (I know, far fetched, but let us pretend)
So Candy sells her product for 1 dollar per unit. Out of that 1 dollar, she averages 5% profit, or 5 cents per unit she sells.
The government comes along and tells Candy-------------> we don't like your product, we want to crimp your ability to sell more of that product or even produce more of it. Problem is her country LOVES that product, needs to buy her product, in fact the whole globe wants some of her product, and yet, it is in short supply.
What happens?
Well, since everybody still wants her product, the law of supply and demand forces the purchase price at the consumer level UP! Her 1 dollar product, now cost 5 bucks because it is in such demand. What do YOU think happens to the Candy lady's profits? Of course, they rise dramatically! She didn't do it, the GOVERNMENT did it. Even if she was still only making 5% on here sale per unit, at 5 bucks per sale, she is making 25cents, a 20 cent INCREASE in profit per unit! In fact, she could sell far less units, and make way more money, meaning.......RECORD PROFITS, lol.
And, what about other producers who make the same product as Candy overseas, what do they do? Well, they COULD increase production to possibly bring the cost back down to 1 buck per unit, making them only 5 cents per on their product. But since they know with the Candy persons hands are being tied, they have a virtually monopoly on the rest of the supply, so they meet and decide------------------>do we want to FORCE the price back down, or instead, do we want to keep the price as high as possible and reap the rewards while using less of our product, and continue getting record profits?
Logic is logic, and none of the other producers are NOT in this NOT to make as much as possible, and if you don't believe me, just look at your friends in OPEC!
And any person, right or left who thinks it isn't the law of supply and demand.........including the future of law and supply and demand, then explain why our hero, Ho-HO keeps releasing oil from the strategic reserve to LOWER prices at the pump, lol. He doesn't know what he is doing, or he does? Can't have it both ways you know!