Again, don't want to turn this into a political discussion, but the oil companies make about 9-10% profit margin on a gallon of gas.
Take that away and gas is still about $3.50 a gallon, and then when an offshore rig goes down and the oil company doesn't have the money to fix it, the cost of gas goes up even more.
But we have some politicians who want to do exactly that - take away or heavily tax oil companies thin profit margin, which will be paid for by you and me.
I wish there was an easy answer to this, but there isn't. Some people blindly claim that the oil companies are gouging us, but they're not.
Compare their profit margin now compared to 10, 20 years ago.
I bet it's pretty close to 9% without even looking it up.
Profit is up because worldwide demand is up. They are selling more product, but they have to invest money to sell more product.
Some people see all those numbers and get dizzy.
The only way to ease the problem is to explore and drill domestically, so that money is going into our own economy, and not that of countries that may be funding organizations that are interested in seeing our demise.
Domestic exploration/drilling and Nuclear plants won't make us 100% energy independent, but it would be a step in the right direction and would also lower the cost and be a huge boost to our economy and tax base.
BTW, for those people who can't say "ANWR" without also using the word "pristine" I give you this picture and caption of ANWR:
Oil seeps to the surface of the tundra, evidence of what lies beneath. The U.S. Geological Survey estimates there could be between 3 billion and 12 billion barrels of economically recoverable oil.
http://www.usnews.com/usnews/photography/anwr/anwr2.htm
Take that away and gas is still about $3.50 a gallon, and then when an offshore rig goes down and the oil company doesn't have the money to fix it, the cost of gas goes up even more.
But we have some politicians who want to do exactly that - take away or heavily tax oil companies thin profit margin, which will be paid for by you and me.
I wish there was an easy answer to this, but there isn't. Some people blindly claim that the oil companies are gouging us, but they're not.
Compare their profit margin now compared to 10, 20 years ago.
I bet it's pretty close to 9% without even looking it up.
Profit is up because worldwide demand is up. They are selling more product, but they have to invest money to sell more product.
Some people see all those numbers and get dizzy.
The only way to ease the problem is to explore and drill domestically, so that money is going into our own economy, and not that of countries that may be funding organizations that are interested in seeing our demise.
Domestic exploration/drilling and Nuclear plants won't make us 100% energy independent, but it would be a step in the right direction and would also lower the cost and be a huge boost to our economy and tax base.
BTW, for those people who can't say "ANWR" without also using the word "pristine" I give you this picture and caption of ANWR:
Oil seeps to the surface of the tundra, evidence of what lies beneath. The U.S. Geological Survey estimates there could be between 3 billion and 12 billion barrels of economically recoverable oil.
http://www.usnews.com/usnews/photography/anwr/anwr2.htm
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