Geode, Big Oil is not guilty of anything except making money from finding oil, making it into various things, and supplying products people choose to buy. Note the word "choose".
<Gasoline is $4.33/gallon in San Francisco today.
That's BigOil extremism which will sell you down the river faster than any Jihadist in Syria. >
"Big Oil" doesn't even set the price. Customers set the price.
That is a tricky concept for even normal people who can think, so you shouldn't try to figure it out and just click to the next post.
If people don't like the price, they don't pay it. Big Oil then has a tank full of product which they can't sell. What they do if they have tanks full of stuff they can't sell is lower the price until somebody does buy it. If they have to lower it further than it's worth them making the product, they stop producing the product.
It's a novel concept I have personally invented which I call Supply and Demand. I have also invented a system which I call an auction. In an auction, buyers bid for products and the top bidder gets the products. Again, the producer of the product doesn't set the price.
Okay Geode, you can start reading again here. If you accidentally read that previous bit, your brain will be spinning in confusion so have a nice cup of tea and a lie down until the rooms is still again. I recommend a lie down in a hammock between two trees with birds and filtering sunshine and blue sky with maybe a couple of fluffy clouds and some tinkling water in a stream ideally but a fountain is fine. With the sound of surf rolling in is even better.
If people who currently buy oil were to do something else, such as walking, then Big Oil would cut their prices a LOT. So would Saudi Arabia.
I used to be Big Oil and spent all day every day at the sharp end, selling products. You would be surprised how the price depended totally on contact with the customer and what competitors were doing. One could be shocked by finding that a competitor was savaging one and making nice with a big customer. Rapid price reductions would be in order. Sometimes, prices went up fast.
Mqurice |
