Gasoline prices pose problems for Obama

[El_Machinae]

Oil is totally fungible. Once it's outside the borders, the market will send it where it's the most valuable.

 

[Cutlass]

Effectively, that happens even when it's within your borders. It just displaces potential imports.

 

[JollyRoger]

I wonder how many cents per gallon above market, if any, the drill-baby-drill crowd would be willing to pay from pumps certified as 100% domestic?

 

[NickyJ]

He won't sell it to US or Europe, but he will sell it to Russia and China, that means it is back on the global market because China will buy less oil from people we buy oil from.

True, but I doubt that will solve U.S. problems.

Oil is totally fungible. Once it's outside the borders, the market will send it where it's the most valuable.

Tariffs. Don't let it get outside the border without a price.

 

[JollyRoger]

Tariffs. Don't let it get outside the border without a price.

That's a two way street and also is a distortion of the free market. Why punish domestic producers by limiting their potential buyers? You are making baby Galt cry.

 

[Mercenary82]

True, but I doubt that will solve U.S. problems.


Tariffs. Don't let it get outside the border without a price.

A lot of the recent surge in oil prices over the price has happened when this Libya uprising happened. Oil was around $83 barrell in Feburary, now it is around $115.

I don't think that is a coincedence.

 

[JollyRoger]

Barrels will get cheaper once the economy improves and America starts changing its wardrobe. There will be less demand for barrels and plenty on the second hand market.

 

[ParkCungHee]

Also, you know, when the weather gets crappy, it'll go back down.