Interesting article on pulling fossil fuel subsidies

[Tiny]

Originally Posted by bf0082

A bigger concern for Moscow and its major producer Rosneft is the potential loss of market share to the US. The world’s largest economy has now leapfrogged Russia to become the biggest producer of crude.

You edited your post. Yes, Rosneft and the other Russian Producers would love to force the U.S. shale producers out of business, so they and OPEC could raise the price of oil sky high. And yes, the USA did leapfrog Russia to become the biggest producer of oil. Glad we're on the same page now.

[lustylad]

Originally Posted by bf0082

Everything I write in regards of oil, are (sic) false, wrong, incorrect, lies, not true, alternative facts, opposite of truths

Thanks for fessing up! Tiny keeps running circles around you when it comes to oil and energy. He is the Daniel Yergin of eccie.

[WTF]

Originally Posted by GastonGlock

I would argue that it's the fluctuating, nebulous concept of "value", which is annoyingly hard to pin down.

Yeah, price feeds into that, but if price were the only factor that mattered, people wouldn't be lining up around the block for $1200 iPhones.

That falls into the category of being able to fool all of the people some of the time and some of the people all of the time but not all of the people all of the time.

[WTF]

Originally Posted by Tiny

That's what I was thinking. Or he's so old his memory's failing. Remember the Arab Oil Embargo, gasoline lines, fears that the Straits of Hormuz would be closed, the war in Kuwait, the hundreds of billions of dollars the USA has spent in the Middle East? And how about our net oil imports constituting the largest component of our trade deficit.

Nobody gives a flip. They want to buy the cheapest product with all things being equal...and our shhep do not care to invest the time in investigating all things being equal.

[lustylad]

Originally Posted by GastonGlock

I would argue that it's the fluctuating, nebulous concept of "value", which is annoyingly hard to pin down.

Yeah, price feeds into that, but if price were the only factor that mattered, people wouldn't be lining up around the block for $1200 iPhones.

Bad analogy. Product differentiation in the smartphone market is immensely greater than in oil markets.

[WTF]

Originally Posted by Tiny

Exactly. If you live under a feudal lord, and he owns everything, and out of the goodness of his heart he decides to let you keep a little more of what you make, then it's a subsidy. This is Barrack Obama's philosophy in action: You didn't build that business, the government did.

That wasn't exactly wtf he said...

[WTF]

Originally Posted by lustylad

Thanks for fessing up! Tiny keeps running circles around you when it comes to oil and energy. He is the Daniel Yergin of eccie.

Damn if you don't have the hots for Tiny!
You two need to head over to another thread and address FICA taxes being regressive.

Originally Posted by lustylad

Bad analogy. Product differentiation in the smartphone market is immensely greater than in oil markets.

It wasn't the best analogy but there are a pile of people that haven't kept up with the oil industry and it's flow chart. You being one of them.

[lustylad]

Originally Posted by WTF

Nobody gives a flip. They want to buy the cheapest product with all things being equal...and our shhep do not care to invest the time in investigating all things being equal.

You don't get it. Global oil prices are not set by the cost structure of the cheapest provider. If that was the case, we never would have built all those incredibly expensive offshore rigs.

Oil prices are set by world supply and demand. Global consumption last year fell from 100 million bpd to roughly 91 million bpd due to the pandemic. Since oil is an undifferentiated commodity for which demand is highly inelastic (at least in the short run), it only takes a slight imbalance between supply and demand to result in a very large movement in prices.

[WTF]

Originally Posted by lustylad

Thanks for fessing up! Tiny keeps running circles around you when it comes to oil and energy. He is the Daniel Yergin of eccie.

Originally Posted by lustylad

You don't get it. Global oil prices are not set by the cost structure of the cheapest provider. If that was the case, we never would have built all those incredibly expensive offshore rigs.

Oil prices are set by world supply and demand. Global consumption last year fell from 100 million bpd to roughly 91 million bpd due to the pandemic. Since oil is an undifferentiated commodity for which demand is highly inelastic (at least in the short run), it only takes a slight imbalance between supply and demand to result in a very large movement in prices.

Oh I get it...only fools play the short run.

And your reply had little to do with what I actually said.

[lustylad]

Originally Posted by WTF

Oh I get it...only fools play the short run.

And your reply had little to do with what I actually said.

In the short run, you need to pay up at the pump. Speaking of fools, maybe you should ask Jimmy Carter if gas prices matter in the short run.

And my reply to you was spot-on. The cheapest oil to produce is in the Persian Gulf. You can almost take it out of the ground with a shovel. But global demand is such that producers with much higher marginal extraction costs are also needed to keep the world economy going.

[oeb11]

Tiny - thank You

Bernie and Lizzie are marxist Communists - who want to rule, not serve the people.

Lizzie's economic 'advisors" are flagrant socialist communists who failed in France with Hollande - and are trying their best to duplicate their failure in America with the radical Communists Bernie, Lizzie, and their ilk such as harris.

[WTF]

Originally Posted by lustylad

In the short run, you need to pay up at the pump. Speaking of fools, maybe you should ask Jimmy Carter if gas prices matter in the short run.

And my reply to you was spot-on. The cheapest oil to produce is in the Persian Gulf. You can almost take it out of the ground with a shovel. But global demand is such that producers with much higher marginal extraction costs are also needed to keep the world economy going.

Fools and Politicians, titles without distinction.

It was spot on, sophmoronic and had nothing to do with anything I'd posted.

[winn dixie]

c'mon man circle back!

[GastonGlock]

Originally Posted by WTF

Fools and Politicians, titles without distinction.

You can't spell Senator without Treason!

[Muy Largo]

For clarification: The first Keystone pipeline, called Keystone One, was completed early in this century and flows oil as we speak. It may have been renamed, as the companies owning and operating these pipelines seem to change periodically. Keystone One crosses eastern South Dakota. It was afflicted by numerous leaks in its first years, as designers hadn't considered the corrosive nature of tar sands oil. Keystone XL (the plan) crosses western South Dakota. It has been hobbled by organized opposition since being unveiled as a blueprint. The pipeline builder bullied ranchers to secure a right-of-way, and that set the stage for the wild politics that followed. The most steadfast opponents are those protesting climate change, but we all know that. The XL pipeline should never have been revived. That brought false hope to construction workers and local contractors and suppliers. Trump did it without thinking. Tar sands mining operations are fading. That's a fact. The Koch folks are major holders, and yes, they exercise just a little bit of political sway. Nevertheless, a central argument against KXL is that the more infrastructure is allowed to develop to promote tar sands and other "newer" fossil fuel sources the more difficult it will be to argue against them in the near future. As a nation we cannot expect a company to sink billions into an approved project only to have it pulled out from them. The early permit process (federally and in several states) for KXL was corrupt. Obama later said no. That should ended the plan. Then Trump put KXL on a roller coaster. KXL builders should have known better than to celebrate Trump's approval. Biden is doing what needed to be done. I hope this messy, questionable project is put on ice for keeps.