No, it wouldn't. Think it through. Getting doomy would get people to rethink their oil consumption in the long run, which in turn would reduce future oil company profits for the entire industry.
Of course not. Taking a course that is statistically guaranteed to result in lower profits (remember, their margins are already thin) when they can simply continue on their existing course or go after other opportunities makes no sense from a shareholder value standpoint. If your claim is in fact true, there is no current benefit to expanding this form of energy retrieval.
If, instead, they blame any spike in price on this hurricane or that Middle East unrest or the other pipeline trouble, they can (and, seemingly, have) forestalled any serious questioning of why a suck economy still commands over $3/gallon.
Oh, so it's a conspiracy.
. . . wonder why the price hasn't dropped to pre-2008 levels. Shouldn't such much crude affect market demand and lower prices? Weird, isn't it?
Not really. Demand hasn't dropped, and refinery issues have not helped.
Oil is not enough of a market anyway, thanks to OPEC. But that's a different issue. If anything, this amount of crude should pretty much put a stop to the speculator conspiracy theory.
Credits & Style Info
Talk Politics. A place to discuss politics without egomaniacal mods
"Clearly, the penguins have finally gone too far. First they take our hearts, now they’re tanking the global economy one smug waddle at a time. Expect fish sanctions by Friday."
![[community profile]](https://www.dreamwidth.org/img/silk/identity/community.png){kind=small}
(no subject)
Date: 9/7/13 19:15 (UTC)Of course not. Taking a course that is statistically guaranteed to result in lower profits (remember, their margins are already thin) when they can simply continue on their existing course or go after other opportunities makes no sense from a shareholder value standpoint. If your claim is in fact true, there is no current benefit to expanding this form of energy retrieval.
If, instead, they blame any spike in price on this hurricane or that Middle East unrest or the other pipeline trouble, they can (and, seemingly, have) forestalled any serious questioning of why a suck economy still commands over $3/gallon.
Oh, so it's a conspiracy.
. . . wonder why the price hasn't dropped to pre-2008 levels. Shouldn't such much crude affect market demand and lower prices? Weird, isn't it?
Not really. Demand hasn't dropped, and refinery issues have not helped.
Oil is not enough of a market anyway, thanks to OPEC. But that's a different issue. If anything, this amount of crude should pretty much put a stop to the speculator conspiracy theory.