M
Masseur_at_Play
Guest
the election? It appears that Iraq is going to start producing a lot of oil due to its newly installed government and the over all war effort of the U.S. and talks on how Iraq can improve itself through increased oil commerce. Iraq has enough oil reserves to supply the U.S. with a good 70 years of oil, but as we all know the gap between oil supplied and oil used is what greatly determines oil prices and this gap can easily be covered, and covered in excess, by Iraq. As such, how long do you think oil prices will continue to remain high?
If the oil price bubble pops, oil prices sharply drop, would this effect the presidential vote?
"after all this time, how can you think that we will get a break from Iraq regarding oil? This is not a war regarding oil."
Iraq doesn't need to sell oil to the U.S. at all for the U.S. to prosper from its oil. The reason why oil keeps increasing as often and as much as it has is because demand is currently exceeding supply. If Iraq increases global supply, the reverse could easy occur, and then oil prices should be dropping as supply continuously exceeds demand.
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As to China and emerging markets using as much oil as the U.S. in five years time, you must be looking at different charts than I am cause there is a huge gap of difference between such usages. China is slowly increasing its use and represents only a small fraction of what the U.S. uses.
I asked a similar question elsewhere, this was the best answer:
Edison Member since:
May 18, 2007
The high price of oil has nothing to do with the Arabs. The Bush Administration let go a loop hole in the law that formerly prohibited commodities brokers from dealing in oil.
So these Americans moved their operations to England and bought oil. They created a new demand for oil and as a result, the price went up. They made money and they bought more and the price have kept going up.
They don't care what they do to the economy, they are getting rich.
The loophole is the same one that permitted Mr. Bush's friends at Enron to make billions with power bids in California.
This insanity will only end if congress takes action. They are talking about it now, but that is only
talk.
The level of production increase by the Saudis and by Iraq and other members of OPEC will only produce more profits from the commodities traders.
When congress acts and puts an end to this loophole in the law that prohibits this kind of transaction, oil prices will fall by half. When that will be is anybody's guess. We all hope, the world hopes it is sometime soon. The blame for this lies with the Bush administration.
Mr. Bush and Mr. Cheney are both "oilmen" and their friends are getting filthy rich.
If the oil price bubble pops, oil prices sharply drop, would this effect the presidential vote?
"after all this time, how can you think that we will get a break from Iraq regarding oil? This is not a war regarding oil."
Iraq doesn't need to sell oil to the U.S. at all for the U.S. to prosper from its oil. The reason why oil keeps increasing as often and as much as it has is because demand is currently exceeding supply. If Iraq increases global supply, the reverse could easy occur, and then oil prices should be dropping as supply continuously exceeds demand.
-----------------
As to China and emerging markets using as much oil as the U.S. in five years time, you must be looking at different charts than I am cause there is a huge gap of difference between such usages. China is slowly increasing its use and represents only a small fraction of what the U.S. uses.
I asked a similar question elsewhere, this was the best answer:
Edison Member since:
May 18, 2007
The high price of oil has nothing to do with the Arabs. The Bush Administration let go a loop hole in the law that formerly prohibited commodities brokers from dealing in oil.
So these Americans moved their operations to England and bought oil. They created a new demand for oil and as a result, the price went up. They made money and they bought more and the price have kept going up.
They don't care what they do to the economy, they are getting rich.
The loophole is the same one that permitted Mr. Bush's friends at Enron to make billions with power bids in California.
This insanity will only end if congress takes action. They are talking about it now, but that is only
talk.
The level of production increase by the Saudis and by Iraq and other members of OPEC will only produce more profits from the commodities traders.
When congress acts and puts an end to this loophole in the law that prohibits this kind of transaction, oil prices will fall by half. When that will be is anybody's guess. We all hope, the world hopes it is sometime soon. The blame for this lies with the Bush administration.
Mr. Bush and Mr. Cheney are both "oilmen" and their friends are getting filthy rich.