link: http://money.cnn.com/2012/03/23/news/economy/oil-industry-gas-prices/index.htm?iid=SF_BN_River
Oil is hands down one of the resources that Americans rely almost every single day. Since it is relied upon so heavily there is constant debate on the prices of gas and the way in which we attain our gas. Currently the oil industry is trying to reach out to people and say that they would like to lower the prices of the gas that we use so often. They are proposing that we drill more, tax less and cut regulation as well. It is obvious that the oil industries point of view and the Republican party point of view go hand in hand. Obama has been criticized for imposing heavier regulations for pollution and the reduction of global warming. The oil industry proposes that their ideas will increase oil production greatly, which in turn would lower the prices of gas. Especially if the production came domestically. The issue is that while Obama has been in office oil production has increased roughly 15% and the prices certainly have not decreased. One of the oil industries main ideas are to have Obama announce that there will be a plan to help decrease the price of oil simply to get consumers to expect the decline in price, and the price will then decline. I feel that our continuing dependence on oil is a slippery slope and that although it may seem like the best thing to do right now, we need to continue to try and find cleaner, more efficient ways for energy.
7 comments:
Although the US and other oil producing countries are producing more oil now than they have over the past few years, an increase in global oil has kept the price at an all time high.
I think the future is in sustainable energy options, but there is a huge learning curve associated with this sort of new technology. The shift will most likely be generational, as younger generations become more familiar with alternative energy sources. Additionally, these sustainable energy options will have an undetermined impact on the economy because there are always byproducts to any change in the system. For example, the production of ethanol will have an effect on the agricultural sector and in particular, corn farmers. The way to lower gas/oil prices is essentially to lower the demand.
I agree with Rachel that the future is in sustainable energy options but I think its years or decades away from replacing oil. However, before we replace oil, I believe we need to put money into seeing if there is oil in America to help lower gas prices because before we find a reliable replacement gas could get over 5 dollars and closer to 10 dollars a gallon.
I agree with both Brady and Rachel in terms of sustainable energy options. I also think it's important to remember that for much of the increase in prices has come from the situation in Iran rather than is purely affected by supply. Increasing supply will help some with prices, but will not solve everything by a long shot.
Rather enlightening article. I didn't know oil production under President Obama had increased. (However, he would never say that out loud because it would anger the left and the right would never give him that credit.) More to the article, domestic oil production is not something the Pentagon is fond of. I've heard from multiple sources that the Pentagon would rather have us pay now and have all of the oil in the world later. (Of course, that wouldn't stop us from fracking in Canada)
I agree that America should work towards reducing its dependence on oil. Not only because of its political implications and uncomfortable relations with oil-rich countries, but also because of its environmental ramifications. If we start now, perhaps we'll be able to contribute positively to the global "green" movement in the future.
If we can figure out the most efficient methods of reducing dependence on oil, not only will this help our environment and finances, but it will help the entire world. We can use these ideas to boost our economy because other nations will want to copy our ideas.
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