President Obama and our daffy Senator Boxer want to punish big oil for our higher gas prices by taking away oil company subsides, which were create by the governement to encourge exploritory drilling in the first place. Government gives $4 Billion in tax credits, government can take way $4 Billion in tax credits. But, that is not the real issue.
Being good progressives Obama and Boxer are just trying the change the subject. They want to divert the sheeples attention from their failure to draft and pass an energy policy, to focusing on the oil companies profits. But, that is what oil companies are suppose to do, make profits for their investors. When these nut jobs say "Big Oil" you train your brain to translate that in to "Big Oil Investors."
There argument is that if the oil companies are profitable, they do not need $4 billion is subsidies. So, they want to remove the $4 billion to punish the oil companies for being profitable. But, does that really have the impact they think it will, other some PR for lame steam press. Let's look a the numbers. Michael J. Economides writes in the Energy Tribune:
What are we really talking about? The “subsidies” amount to just $4 billion per year. It may sound a lot of money but here is a quick calculation. The United States is using about 400 million gallons of gasoline per day. At $4 per gallon this translates to $1.6 billion per day, which means that the yearly subsidies to the dreaded oil companies account for less than three days of just the US gasoline bill. The US total oil bill at today’s prices is about $2.3 billion per day. Using a modest multiplier in economic activity, that would make the US oil industry, not counting natural gas, a $10 billion per day economic activity. The “subsidies” trumpeted by the government headlines amount to a few hours of the industry’s size.
Hell yes, let take away those miscule subsides and then the sheeple will want to know were is the real energy policy? After the nut jobs have punished the evil oil companies, what's next? The problem is there is no next. We have no visible oil policy, only the hidden agenda to drive up enegy cost, so all that wacko alternative energy crap starts of look feasible, and worthy of more subsidies.
People, do not be sheeple, recognize your are being played by the enviromental wackos that want us to stop using oil by driving up the price. To do that they have shut down drilling, which they have off shore. The on shore drilling is the next target, with a ban on fracking. Trust me, it is coming, I have seen the talking points.
During the Bush administration the price of oil spiked. The week after Bush removed the moritorium on off shore drilling the price dropped like a rock thrown into a pond. We just need to shut down the EPA, so we can start drilling in the US again, and the price of oil will drop like a rock once more.