Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: Tenchusatsu who wrote (237856)	6/18/2005 3:23:35 PM
From: combjelly	Respond to of 1578885

"In my view, that's because they have to import a higher percentage of their oil than we do, often times 100%." Taxes probably make a bigger difference. For example, in Luxembourg the price of gas was 0.97 Euros per liter. In Britain, who has a piece of the North Sea production and Germany, which doesn't, gas is closer to 1.25 Euros per liter. Ok, in Britain it was 87 to 90 pence a liter, but that works out close to German prices. Luxembourg isn't know for oil production.

To: Tenchusatsu who wrote (237856)	6/18/2005 4:06:26 PM
From: tejek	Respond to of 1578885

Not to say that we should consume even more Middle Eastern oil just to deny other nations theirs, which would be silly. But I'm just telling you what the market reality is. But that isn't the market reality. Prices are lower here because we don't tax gas as much as they do in other countries. And they do that in other countries to discourage oil consumption because it upsets the balance of payments to the disadvantage of the importer and it provides monies to really develop alternative forms of transportation. Have you been on a train lately in Europe? It makes the trains here look like ghetto trains. Mass transit in cities is common, very accessible, attractive and very pleasant. People are encouraged to bike to work........Amsterdam is famous for that. You have to wonder why American energy policies are so out of step with those of other developed countries who are net importers of oil. ted

To: Tenchusatsu who wrote (237856)	6/18/2005 5:40:12 PM
From: Amy J	Read Replies (1) \| Respond to of 1578885

Tenchusatsu, RE: "Notice how gas is much cheaper here than in most other countries? In my view, that's because " The US earned points (i.e. cheaper gas) when Bush #1 attacked Iraq as a favor to Kuwait. Bush #1 or Clinton could call Opec and they'd respond favorably, because Bush #1 did Kuwait (and indirectly the others in the Middle East) a huge favor by stemming Iraq's aggressive approach to their neighbors. But when Bush #2 attacked Iraq as a beach-head into attacking the entire political structure of the Middle East dictatorships, we lost a few points (i.e. gas didn't get cheaper) in the short-term because the Saudi's aren't exactly motivated to increase production to fund our war whose ultimate aim is to change their economic structure into Democracy. Saudi's would prefer status quo than increased competition. However, over the long-term the US should gain points as the Middle East politico-economic structure changes to Democracy which would encourage a more capitalistic approach to the production of oil to meet demand because Iraq's to transition democracy (if successful) will cause other Middle East countries to transition to Democracy as well (or be at higher risk of failing). An increase in democracy in the Middle East will generate a capitalistic approach to oil production - resulting in more oil at a lower cost once the efficiencies of capitalism takes hold in the Middle East. That's Bush's ultimate goal: cheap gas for America. Currently, the Saudi family gets rich and inefficiently produces the wrong demand level. But a better way to solve the problem would have been to do what Mindmeld has been suggesting all along: alternative energies. Regards, Amy J