I'd rather he added another dollar a gallon in taxes and add $1000 per tenth of a litre of engine displacement over 2 on new cars. Currently registered cars should have an additional tax of $20 or so per year based on the same calculation. With that money a real rail system could be funded, along with ethanol/biofuels, as well as other alternative energy sources. That, or we could not invade a country for a while and invest those billions into actually breaking the oil addiction.
What a tremendous void of leadership at the top. Instead of attacking the problem, we still continue to **********foot around - and continue to further harm the environment at the same time. Sweet.
He did this after Katrina too. As long as it's short term I'm ok with it. Wait a minute, this is BushCo, they'll enact this into law shortly....
Okay, the market, such as it is, then. Interesting study here: http://www.consumeraffairs.com/news04/2005/gas_prices_falling.html Main finding: Backs up the old saw that retail prices fall only slowly after withdrawal in peak in oil/wholesale prices as station owners maximize profit taking. But here is the kicker: And FWIW, I'm a left wing business-type. Speaking of which, I should go justify my existence to the partners. Later.
Why does the Government buy oil for the stretegic reserve when it is being pumped from Government owned land in the first place?
Here's the problem folks. For about 100 years we've shared oil with Europe, and that's about it. Remember all those Chinese people on bikes? They want a car, now. In 2002 demand for cars in China soared by 56%, far more than even the rosiest projections. The next year growth quickened to 75%, before slowing in 2004 (when the government tightened rules on credit for car purchases. China is already the third largest car market, and it's growing 50% a year? Couple that with the fact that they have our jobs now, too... Oh yeah, there's India, too.
Nope. Lower prices is exactly the WORST thing that could happen. 1) As prices rise, demand for large automobiles dwindles among the industrialized world. 2) As prices rise, alternative energy sources become competetive 3) As prices rise, investments in public transportation links become better investments than highways. (I STILL love the arguments I have with people about how trains and buses and subways shouldn't be supported by tax dollars, but highways should). 4) As prices rise, demand in emerging economies (see: Chinese car drivers) is going to fall. So what are we doing? Praying that the price gets lowered so there is more demand and less incentive to change to dilithium crystals. The next smartest thing would be to BOMB IRAN!
Sorry for the miscommunication. I meant to ask if you think China's position is sustainable. They have a ton of issues to deal with over the next 25 years.
Not that I dispute the general trend... but I have to wonder where whoever built that chart got their numbers? World oil demand is about 80-82 million bbl/day. That chart puts it at 220 now and 336 in 2030, both numbers that will never be seen. Current growth estimates say the best case for production will be about 91 or so by 2010 and after that it straight line for a while before tailing off as the old fields peak. But the scale of the demand changes look to be in line with everything I've seen, except I'd maybe quibble with Europe who are doing almost as well as the Japanese at curbing demand growth.
One last thing... Really good post here explains the path oil takes from the ground to your gas tank and who steps on it and why oil companies are making record profits: http://www.theoildrum.com/story/2005/9/2/123923/4955#more
What's really amazing - assuming at least the usage ratios are fairly accurate - is how low Japan's usage is. That's a modern, advanced, industrial society with a little over 40% of the US population, yet only uses 20% as much oil. That's half as much per capita.
It's a relatively small geographical area populated extremely densely with well developed mass transit.
No sh!t. Ever see some of those people pods people who don't want to commute home after a long day can rent for an evening? It's like crashing in an MRI machine.
Apparently, getting laid in one is quite a trip, especially if one is of Northern European stature, i.e. 6' 1", 200 lb.