<<Then what the hell are the reserves for........>>
Well I think you got you're answer to that one.Clear enough?
<<Let's face some facts here>>
Yes lets...........
>>The oil shortage is not due (yet) to overconsumption, but to underproduction by suppliers. They cut back production to reduce a previous oil GLUT, but decided to take it a step further (because they think they can).<<
Bullchit!Some oil dependant nations have been on a tear building larger and less efficient vehicles cause they got used to cheaper oil/gas when other economies were in the dumpster.They also built larger homes and put energy consuming electronic devices by the gazillions in them.They never addressed the largely inefficient homes and complexes still burning heating oil and the slow move towards more efficient and cleaner burning natural gas and other alternatives.A mere 7% decrease in production could not have trippled the price alone.Other industrialised countries are using more too and Asia is moving towards a more oil dependant zone.
The cut back was necessary to ensure they receive a fair return for an ever dwindling resource,and in some cases the main-stay of THEIR entire economies,now,and for many years to come.
(The fact that they THINK they can has been elevated to they KNOW they can,but have played a self defeating game during an economic depression by producing more to make up for loss in revenue.Something like certain gold producers wish to aspire to......dummies!)
<<Let's also get something straight here about the nature of OPEC<<
OK.
<<OPEC makes absolutely no bones about their desire to extort the most money from the industrialized nations. The only limiting factor is setting that price at such a high price that industrialized countries increase their exploration, use alternative fuels, or conserve.<<
Geeeee...I thought they were just trying to obtain a fair price!!You want extortion.....how about a certain nation's desire to export a HIGHLY over-valued form of payment to the world,comprised of paper with numbers in which there are NO guaranties will ever be honoured in times of trouble in that nation,or at best at a very reduced rate.Has the trade deficit in the US completely gone un-noticed?Not by some it seems.If it takes more exploration,alternative fuels,or conservation...then so be it....DO IT!Quit whining and trying move everything to you're advantage every time you feel threatened.OH YA...their calling this an " OIL CRISES!! " fer CRISES sakes. Tooooooo funny.OPEC are not controlling the price..they are controlling the supply ?.which again is based on????supply and demand!!Get it?
<<I have no problem with conservation>>
Well that's comforting.<g>
>>but I also have no problem distorting an already distorted market that is economically vital to the US.<<
HUH?You must be talking about the Nas--DUCK!!.<g>
<<Open up the reserves and put a little fear in them.>>
Way bad move dude.America's underbelly is already exposed, you wanna cry UNCLE already?
>>They don't need the US competing in their oil markets with oil that we purchased at $10-15/barrel, and get to sell for $30/barrel.<<
Right then.And if this reserve is used and you have to buy at $ 25 or so,what will happen the next time?You then buy at $25 and then sell at $40?And the next time.And the NEXT TIME!Sounds like a losing proposition to mois...not even mentioning the vulnerability and loss of confidence that would ensue. I'm sure the strategists have got this one figured as well.Glad you're not in charge.<GGG>
<<Remember that energy prices hurt foreign nations more than here in the US since oil is denominated in dollars,They suffer worse than we do<<
I believe I've already referred to this.But what about those " foreign nations " that are net exporters?Don't they get a piece of the pie too,and enable THEM to purchase those coveted PALM gadgets?Must it always be the " TECHNO-INDUSTRIAL nations that par-tay till they drop on overvalued markets and the like?Won't sharing the wealth through-out the World create a more stable environment for all,and allow those countries fortunate enough to have excess reserves to raise their living standards to at least what is considered utter poverty in the US?
>>And the OPEC nations profit even more taking in those strong US dollars<<
I would assume they would profit more by taking in a currency that has room for upside potential ,not one that is highly overvalued and bound to deteriorate over time.And that " STRONG DOLLAR " bullchit is really out there.You'd think you were speaking of something that smelled or something.Strong this..strong that..SHEESH!! Why can't you're boys just say " We believe in a well valued currency "....instead of this " strong " and " weak " and " powerful " etc..etc.. ....makes some think you guys are playing video games or something.
Anyone for a game of " OIL BARRON "?
He he he
Regards big guy.
Taurus
PS: You never answered my last question,among others.
From WHO? |
