Oil Subsidies

[Hobbes]

Could be that I have spent 15+ years in the oil patch. I have seen all sides. You can look good on tv telling people that you are going to let them drill. You would not believe how much the Government wants in return. But then I have owned 4 other businesses, so I have seen how much they take from every business owner. I guess that is where I get my crazy views. People who have not been there, will never get it. They may think they know, but they don't. There is a reason why you never hear "BIG GOV" talking about how much they take from "big oil". You just get to hear about how much more they want.

But oil drilling in this country is at an all time high and that means oil drilling permits are at an all time high.

It's good to know that such a knowledgeable man like yourself won't be perpetuating the lies about "US oil companies are not allowed to drill here" that echoes
through the right wing of the internet, endlessly.
And without anyone even having the courage to listen to the other side or maybe even look up the numbers for themselves.

 

[RidgeHunter]

Oil is such a false market for a variety of reasons. Gas is HEAVILY subsidized by a good percentage of world governments. IE, they artificially keep fuel prices low, even while oil prices rise, which does nothing but push oil prices higher on the global market because cunsumption in those countries does not fluctuate with oil prices. Can someone tell me why gasoline costs less then stale dog piss in Venezuela? Anyone?

I don't think half you guys understand what a subsidy is or what it does.

http://money.cnn.com/2011/08/30/markets/gas-prices/index.htm

http://money.cnn.com/2011/04/21/markets/oil_gas_prices/index.htm?iid=EL

http://money.cnn.com/2011/02/21/news/economy/oil_prices_us_brent/index.htm?iid=EL

http://www.propublica.org/article/despite-rhetoric-cutting-oil-subsidies-would-have-little-effect-on-gas-pric/single

http://rff.org/RFF/Documents/RFF-IB-09-10.pdf

 

[inactive]

Can someone tell me why gasoline costs less then stale dog piss in Venezuela? Anyone?

I don't think half you guys understand what a subsidy is or what it does.

Word. Anyone care to reckon a guess on why the population of Venezuela has tolerated batchit-crazy Chavez for so long?


Now blubber is a renewable resource. Certainly wan we refine it into petrol. Take THAT Sea Shepherd!


http://dailyhubbub.co.uk/424/baby-seal-powered-car-stirs-controversy/

BABY SEAL POWERED CAR STIRS CONTROVERSY

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[Biggsly]

But oil drilling in this country is at an all time high and that means oil drilling permits are at an all time high.

It's good to know that such a knowledgeable man like yourself won't be perpetuating the lies about "US oil companies are not allowed to drill here" that echoes
through the right wing of the internet, endlessly.
And without anyone even having the courage to listen to the other side or maybe even look up the numbers for themselves.

I agree. I listen to all sides. Sometimes I have to argue with people who have no first hand experience in what they are talking about. They only know talking points. It would be like me telling people how the circus works, even if I have never been in the circus. I can google it, but in the end, I don't know jack about the circus.
I hate high gas prices as much as anyone. Do I think it is all "big oil's" fault? No. They could drop the tax breaks for "big oil" and then they could drop all the taxes they are charging on it. It will never happen.
I think that big oil, big coal, big pharma, big "insert next villain here" is not as scary as Big Gov.

 

[Hobbes]

Oil is such a false market for a variety of reasons. Gas is HEAVILY subsidized by a good percentage of world governments. IE, they artificially keep fuel prices low, even while oil prices rise, which does nothing but push oil prices higher on the global market because cunsumption in those countries does not fluctuate with oil prices. Can someone tell me why gasoline costs less then stale dog piss in Venezuela? Anyone?

I don't think half you guys understand what a subsidy is or what it does.

http://money.cnn.com/2011/08/30/markets/gas-prices/index.htm

http://money.cnn.com/2011/04/21/markets/oil_gas_prices/index.htm?iid=EL

http://money.cnn.com/2011/02/21/news/economy/oil_prices_us_brent/index.htm?iid=EL

http://www.propublica.org/article/despite-rhetoric-cutting-oil-subsidies-would-have-little-effect-on-gas-pric/single

http://rff.org/RFF/Documents/RFF-IB-09-10.pdf

Good catch.

On a related note: The KeystoneXL oil pipeline.
A 1661 mile pipeline that would transport oil straight from Canada to gulf ports where it could be shipped anywhere in the world.
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http://johanns.senate.gov/public/?p=trans
http://motherjones.com/blue-marble/2011/08/pipeline-protesters-keystone-xl-tar-sands

It's caused a big fuss in Nebraska.
Apparently politicians in NE are threatening to employ eminent domain laws to force farmers to allow the pipeline on their property and it turns out the oil interests have been donating large sums of money to those politicians, coincidentally.

 

[Hobbes]

I agree. I listen to all sides. Sometimes I have to argue with people who have no first hand experience in what they are talking about. They only know talking points. It would be like me telling people how the circus works, even if I have never been in the circus. I can google it, but in the end, I don't know jack about the circus.

That's because you have superior first hand experience that no one can question Biggsly.
It's pointless for them to even converse with you.

 

[Biggsly]

That's because you have superior first hand experience that no one can question Biggsly.
It's pointless for them to even converse with you.

Yes. That must be it. I think we can all agree that we know you are always right. You win.

 

[_CY_]

OK... I'll bite ... give me a bit to do the research on your article with "facts" written by the Cato institute. which of course was started by Charles Koch, petroleum and chemical billionaire from inheritance. 8% of it's funding comes from Exxon/Mobil ...

hmmmm ... looks like a fish... smells like a fish... could it be a fish?
breakdown of fishy article soon...

Again though you will not catch it, my data does not come from Fox News and is verifiable and if you care to see facts, here is a link to Forbes piece that agrees with ending the "subsidies" the only difference in the figures is the OP went by one year while the Forbes goes by 10 years.

http://www.forbes.com/2011/05/02/eliminate-oil-subsidies.html

As for the refineries being idle. That is because we are exporting more crude. The heavy bitter crude not used to make gasoline. Instead of refining it here they export it as crude.

 

[RickN]

OK... I'll bite ... give me a bit to do the research on your article with "facts" written by the Cato institute. which of course was started by Charles Koch, petroleum and chemical billionaire from inheritance. 8% of it's funding comes from Exxon/Mobil ...

hmmmm ... looks like a fish... smells like a fish... could it be a fish?
breakdown of fishy article soon...

Oh yes the EVIL Koch brothers.

To bad they are so good at covering up how evil they are by doing nothing the left claims they have done, and by giving millions to charity, owning one of the top rated companies by it's union employees, etc, etc.

 

[_CY_]

don't put words in my mouth... never said Koch brothers were evil... I stated the FACT they are billionaire as a result of petroleum and chemical inheritance. naturally they would have a vested interest in keeping Billions $$$ of federal subsidies and tax reductions intact. the same for Exxon/Mobil.

quite frankly I would put anything written by Cato institute just as reliable data from Fox news.

neutral parties like Congressional Budget Office (CBO) are light years more believable. here's a starter....

according to the CBO... the effective tax for oil companies after subsidies and tax breaks, etc. is 9% or lower than any other business. who's average rate is closer to 25%.

OK... ready for your ultra right wing spin...

this is just the first stage of research related to your article... more coming.

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According to the most recent study by the Congressional Budget Office, released in 2005, capital investments like oil field leases and drilling equipment are taxed at an effective rate of 9 percent, significantly lower than the overall rate of 25 percent for businesses in general and lower than virtually any other industry.

And for many small and midsize oil companies, the tax on capital investments is so low that it is more than eliminated by var-ious credits. These companies’ returns on those investments are often higher after taxes than before.

http://www.cbo.gov/ftpdocs/67xx/doc6792/10-18-Tax.pdf

Oh yes the EVIL Koch brothers.

To bad they are so good at covering up how evil they are by doing nothing the left claims they have done, and by giving millions to charity, owning one of the top rated companies by it's union employees, etc, etc.