They just don't get it...
Washington -- Oil prices are at multi-year highs. Gas prices have skyrocketed the last few months. Exxon had profits of 13 billion dolllars in ONE quarter last quarter. It was the largest one quarter profit recorded ever by a company...ever! So, the talk of implementing a "windfall tax" on oil profits is sturring again in Washington.
I am under the impression that the guys running the show in Washington just don't get it. They keep thinking that the oil companies are running up the oil profits on purpose. If that was the case, why didn't they do this when oil was 12$ a barrel only 4 years ago! Don't you think they would want to run up the prices then? The Exxon CEO retired in December and I like what he said. He basically said that Washington doesn't get it because they (and the general public) don't understand that the oil field runs in cycles (5-10-15-20-30 year cycles). We just happen to be in a cycle where there is simply too much demand and not enough supply.
The supply part is what people don't get. WE ARE RUNNING OUT! WE WILL RUN OUT! PERIOD! This is why every country from the US to China is trying to secure oil fields around the world (ie. Iraq, Nigeria, etc). Oil companies are not running the prices up...supply and demand are. India and China need more oil! Plus the US is thirsty. We will keep using oil and gas more and more each day and don't care about the consequences.
My point is this. It seems that with oil prices this high...polititians could easily pass a windfall tax because people are going to be paying 4$ per gallon of gas this summer. The people (who don't really understand why prices are so high) will want to somehow punish big oil. So they'll pass a windfall tax. If it is inevitable...I propose that we use ALL of the windfall tax for alternative energy research. Let's get more into wind research. Nuclear energy. Something right? BUT, what will end up happening is that they'll get their greedy hands on all that windfall tax and put it into pork for their buddies back home. They'll make up something to get them re-elected (since it is a re-election year).
Sad. It will be sad because every polititian will have to favor the windfall tax this summer because of high prices will be so high. AND if they don't favor it, they will have to explain to the angry public why come re-election campaigning and they won't want to do that. So, they'll eventually pass it. Take the money. And add to the deficit in a negative way.
So, get on the congressman website and propose that if a windfall tax is implemented...that we use all of it to research alternative energy so that we don't keep repeating our same mistakes we have done in the past. So that when our kids are our age...that they have a nice lifestyle (instead of being drafted to fight China for oil).
Here is an article of what I'm talking about: The Tax Man
I am under the impression that the guys running the show in Washington just don't get it. They keep thinking that the oil companies are running up the oil profits on purpose. If that was the case, why didn't they do this when oil was 12$ a barrel only 4 years ago! Don't you think they would want to run up the prices then? The Exxon CEO retired in December and I like what he said. He basically said that Washington doesn't get it because they (and the general public) don't understand that the oil field runs in cycles (5-10-15-20-30 year cycles). We just happen to be in a cycle where there is simply too much demand and not enough supply.
The supply part is what people don't get. WE ARE RUNNING OUT! WE WILL RUN OUT! PERIOD! This is why every country from the US to China is trying to secure oil fields around the world (ie. Iraq, Nigeria, etc). Oil companies are not running the prices up...supply and demand are. India and China need more oil! Plus the US is thirsty. We will keep using oil and gas more and more each day and don't care about the consequences.
My point is this. It seems that with oil prices this high...polititians could easily pass a windfall tax because people are going to be paying 4$ per gallon of gas this summer. The people (who don't really understand why prices are so high) will want to somehow punish big oil. So they'll pass a windfall tax. If it is inevitable...I propose that we use ALL of the windfall tax for alternative energy research. Let's get more into wind research. Nuclear energy. Something right? BUT, what will end up happening is that they'll get their greedy hands on all that windfall tax and put it into pork for their buddies back home. They'll make up something to get them re-elected (since it is a re-election year).
Sad. It will be sad because every polititian will have to favor the windfall tax this summer because of high prices will be so high. AND if they don't favor it, they will have to explain to the angry public why come re-election campaigning and they won't want to do that. So, they'll eventually pass it. Take the money. And add to the deficit in a negative way.
So, get on the congressman website and propose that if a windfall tax is implemented...that we use all of it to research alternative energy so that we don't keep repeating our same mistakes we have done in the past. So that when our kids are our age...that they have a nice lifestyle (instead of being drafted to fight China for oil).
Here is an article of what I'm talking about: The Tax Man
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