View Single Post
      06-20-2008, 10:50 AM   #19
Nixon
Banned
21
Rep
1,396
Posts

 
Drives: :
Join Date: Jul 2007
Location: :

iTrader: (0)

Quote:
Originally Posted by Purgatory View Post
if anyone has any questions on how these things work let me know as I do this for a living.
I've got one big question. There is a lot of talk about making the US oil-independent (and somehow insulating the US from the rest of the global oil market) by increasing US production to a level that would provide for all of the United States' oil needs.

In a global oil trading market, could this ever be possible? I would think that if US companies could sell US oil overseas for more money, they would sell it there instead of in the US for less money. Wouldn't that mean the US oil market would still be tied directly to middle east oil production, and the rapid increases predicted in the Chinese/Indian/third world oil consumption?

Is there any way to insulate the US oil market from the global oil market -- short of installing Communist/Socialist style controls over US oil production that would ban US oil companies from selling their oil in the global oil market? Wouldn't the US gov't have to somehow force oil companies to keep their production high enough to meet demand in the US market in order to keep the price lower than the rest of the global market?

Short of the US gov't taking strict control of the US oil industry to force separation from the global market and ensure enough productions to 100% supply the US market, is there any other way for the US to gain true energy independence besides greatly reducing consumption?