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Strategies & Market Trends : Mish's Global Economic Trend Analysis -- Ignore unavailable to you. Want to Upgrade?

To: Elroy Jetson who wrote (65611)	5/17/2007 5:43:30 PM
From: TimbaBear	Read Replies (2) \| Respond to of 116555

During the 1965 to 1970 period we had a large military demand, but we also had a lot of spare refining capacity - hence no large rise in the cost of refined products. While that may be true, what was the overall production of oil compared to the overall demand? How much demand was made up by light sweet versus today? While refinery capacity and output certainly hasn't been exploding (no pun intended) in the US, it seems to me that the biggest difference today is exploding demand.....of which the military is certainly a part, but not the whole answer. Finally, what does the demand curve versus the production curve look like? Not only for finished products, but for the crude as well. The last I saw, it appeared that demand was outstripping production and had been for some time, but my memory is always suspect in these things.