Why are people always comparing US and European oil prices?

**40sondacurb** · 04-26-2006, 07:36 PM

I don't see the two regeions as having similar enough situations to compare.

We drill much of our own oil or it is imported from a near by country such as Venezuela. It doesn't cost much to ship oil from alaska texas and off shore riggs, but when you're shipping all the way from the mddle east it's bound to cost you more. I'd be suprised if British Petroleum had pumped one drop of oil in the UK.

My point is that if the same factors do not lead to the high price of gas in UK as do here (US) then why does the media keep making the comparison as if it were supposed to console us that countries that import nearly all their oil pay more.

yustr · 04-27-2006, 05:51 AM

I agree with your main point - that there are differing factors that make a comparison less than 100% valid. But we are in a global market and one group (Europeans) willing to pay a high price does drive the price up everywhere.

The main reason for comparing is that the US and Europe are the two biggest economies and are simalarly developed. If Europe can exist with $4 gal gas than so can the US. Or so the thinking must be at Exxon-Mobile corporate headquarters and the White House (assuming of course these are separate places).

And, if you look at a globe, I'd bet that the UK is actually closer to the Middle-east than most of the US (Florida

) is to Alaska.

**MunkyPhil** · 04-27-2006, 06:36 AM

I don't know where that $4 a gallon from. Here in the UK motorists have to pay about £1 for a litre, which is about £4.55 for a gallon, which is about $8.10.

Whether the UK is closer to the Middle-East or not we're still being extorted. $4 a gallon we wish!! It's always been cheap in the US. And I don't drive so I don't really care.

**bruiser** · 04-27-2006, 07:07 AM

It's the European governments sticking it to it's citizens through taxes. In some places around 70% of the cost of gas is taxes.

bry623 · 04-27-2006, 08:29 AM

yustr, that is whay Bush gave us tax cuts, to pay for the gas increases.

Oh wait, that's right, I am middle class and did not receive a tax cut.

yustr · 04-27-2006, 09:23 AM

Quote:

Originally Posted by bry623

yustr, that is whay Bush gave us tax cuts, to pay for the gas increases.

Oh wait, that's right, I am middle class and did not receive a tax cut.

What a great scam. We'll give them a tax cut so they'll feel better about paying more for gas. Sounds like corporate welfare to me. I can just picture the fat guys in black suits laughing in the cigar smoke-filled room toasting their scotch glasses as they congratulate each other on fooling them yet again.

As is typical of politicians in general, and Republicans in particular (Demo's at least pretend to be concerned - they don't do anything mind you but at least they think they want to) they have no idea how what they do impacts ordinary people. A buck a gallon has little impact on the guys driving Hummers - even though it only gets 8 mpg. It's the single mom nurse working the graveyard shift so she can be there when her kid gets home from school, driving the 92 Ford that also only get 8 mpg that has to skip a meal or two because she just dropped $15 extra to fill her tank. Then again, maybe they do understand but just don't give a damn.

"No one ever went broke underestimating the intellegence of the American public."

ebackhus · 04-27-2006, 09:36 AM

Exxon reported more record profits...

When the gov't realizes that more and more Americans are having to decide between gas and basic needs then hopefully we'll see some change.

**forcifer** · 04-27-2006, 03:07 PM

i wish that exxon would put out $1,000,000,000 for a new refinery. that is what is killing us. the gas companies are not making that muuch gas so the proce skyrockets and they make money. i really dont like it

**mgoldb2** · 05-11-2006, 10:37 AM

Quote:

It's the European governments sticking it to it's citizens through taxes. In some places around 70% of the cost of gas is taxes.

That is the truth.

I am American I hate paying high gas prices but this going to be a VERY unpopular opinion but we should be taxing gas also. Our dependency on oil is a threat to our national security. We should be doing everything in our power to encourage less oil use and to find alternative sources of energy

And bush making a speech saying he trying to lower out dependency on oil doesn’t count because all it is, is words. He has not done one thing to actually try to solve the problem. Just make speeches then behind the doors tell all his oil buddies don’t worry nothing actually going to happen.

bry623 · 05-11-2006, 10:46 AM

You forgot to mention Haliburton as well. You gotta include those in your Bush bashes.

**mgoldb2** · 05-11-2006, 11:27 AM

Quote:

Originally Posted by bry623

You forgot to mention Haliburton as well. You gotta include those in your Bush bashes.

I pretty sure Hailburton falls under the category of oil buddies. There really no reason for me to bash bush in detail anymore.

Except for the 32% that going to support him no matter how many times he skews up everyone already know what a skewed up job he done.

**DumberDrummer** · 05-12-2006, 04:35 PM

Supply is equal to demand right now, that's why prices are so high.. they are predicting supply to exceed demand soon, that is why oil companies are claiming record profits. Or so I've been told

**bruiser** · 05-12-2006, 06:25 PM

Oil is a commodity. It's sold in the world market. Sort of like an auction. Notice the speculators/futures players are the ones bidding the price up. Something else that seems to occur is when the Iranian madman opens his mouth and threatens to destroy Israel, the price goes up.

Building a new refinery is about as easy as building a nuclear power plant. All of the regulations, licenses, studies, etc., increase the costs so much that no one wants to take the chance. Some of the oil companies enlarge their current facilities, but as long as so many of them are in hurricane territory there is always the possibility they can be damaged or destroyed.

04-26-2006, 07:36 PM	#1 (permalink)
40sondacurb Don't be a menace Join Date: Jan 2005 Posts: 6,285 OS: Vista sp2	Why are people always comparing US and European oil prices? I don't see the two regeions as having similar enough situations to compare. We drill much of our own oil or it is imported from a near by country such as Venezuela. It doesn't cost much to ship oil from alaska texas and off shore riggs, but when you're shipping all the way from the mddle east it's bound to cost you more. I'd be suprised if British Petroleum had pumped one drop of oil in the UK. My point is that if the same factors do not lead to the high price of gas in UK as do here (US) then why does the media keep making the comparison as if it were supposed to console us that countries that import nearly all their oil pay more. __________________ Donate to keep the forum running

04-27-2006, 05:51 AM	#2 (permalink)
yustr Asst. Manager, The Conversation Pit Join Date: Sep 2004 Location: Connecticut shore Posts: 6,038 OS: XP Pro My System	I agree with your main point - that there are differing factors that make a comparison less than 100% valid. But we are in a global market and one group (Europeans) willing to pay a high price does drive the price up everywhere. The main reason for comparing is that the US and Europe are the two biggest economies and are simalarly developed. If Europe can exist with $4 gal gas than so can the US. Or so the thinking must be at Exxon-Mobile corporate headquarters and the White House (assuming of course these are separate places). And, if you look at a globe, I'd bet that the UK is actually closer to the Middle-east than most of the US (Florida ) is to Alaska. __________________ If there are lawyers or politicians involved, logic may be a very poor tool for reaching a conclusion.

04-27-2006, 06:36 AM	#3 (permalink)
MunkyPhil TSF Enthusiast Join Date: Apr 2006 Location: Liverpool, England Posts: 1,140 OS: Win XP Pro SP2 My System	I don't know where that $4 a gallon from. Here in the UK motorists have to pay about £1 for a litre, which is about £4.55 for a gallon, which is about $8.10. Whether the UK is closer to the Middle-East or not we're still being extorted. $4 a gallon we wish!! It's always been cheap in the US. And I don't drive so I don't really care. __________________ "Now I am become death, the destroyer of worlds." - J. Robert Oppenheimer, July 16th 1945. CPU-z -- Memtest -- Speedfan -- Prime95 -- SandraLite Important Power Supply Info -- Applying Thermal Paste -- Posting System Specs

04-27-2006, 08:29 AM	#5 (permalink)
bry623 Manager, The Conversation Pit/Analyst, Security Team Join Date: Apr 2002 Location: NW Territory circa 1787 Posts: 11,692 OS: winxp pro sp2	yustr, that is whay Bush gave us tax cuts, to pay for the gas increases. Oh wait, that's right, I am middle class and did not receive a tax cut. __________________ "If you aren't a liberal when you're 20, you have no heart. If you aren't a conservative when you are 50, you have no brain"

04-27-2006, 09:36 AM	#7 (permalink)
ebackhus Manager, Design Join Date: Apr 2005 Location: SATX Posts: 14,249 OS: WinXP Pro SP3/Windows 7 RTM My System Blog Entries: 28	Exxon reported more record profits... When the gov't realizes that more and more Americans are having to decide between gas and basic needs then hopefully we'll see some change. __________________ ----------------------------- There are no dumb questions, unless a customer is asking them. Help in the fight against cancer and other serious illnesses.

04-27-2006, 07:07 AM	#4 (permalink)
bruiser TSF Enthusiast Join Date: Jul 2005 Posts: 1,973 OS: xp	It's the European governments sticking it to it's citizens through taxes. In some places around 70% of the cost of gas is taxes.

04-27-2006, 03:07 PM	#8 (permalink)
forcifer Registered User Join Date: Nov 2005 Location: Kansas City kansas Posts: 3,623 OS: Vista Premium 32 My System Blog Entries: 1	i wish that exxon would put out $1,000,000,000 for a new refinery. that is what is killing us. the gas companies are not making that muuch gas so the proce skyrockets and they make money. i really dont like it __________________ now i remember

05-11-2006, 10:46 AM	#10 (permalink)
bry623 Manager, The Conversation Pit/Analyst, Security Team Join Date: Apr 2002 Location: NW Territory circa 1787 Posts: 11,692 OS: winxp pro sp2	You forgot to mention Haliburton as well. You gotta include those in your Bush bashes. __________________ "If you aren't a liberal when you're 20, you have no heart. If you aren't a conservative when you are 50, you have no brain"

05-12-2006, 04:35 PM	#12 (permalink)
DumberDrummer Cymru am byth Join Date: Oct 2003 Location: Oregon Posts: 5,385 OS: Windows XP Pro SP2 My System	Supply is equal to demand right now, that's why prices are so high.. they are predicting supply to exceed demand soon, that is why oil companies are claiming record profits. Or so I've been told __________________ Living with Louie dog's the only way to stay sane _____________________________________________ ... and with those words so begins my lifetime of longing for the devil's warm embrace

05-12-2006, 06:25 PM	#13 (permalink)
bruiser TSF Enthusiast Join Date: Jul 2005 Posts: 1,973 OS: xp	Oil is a commodity. It's sold in the world market. Sort of like an auction. Notice the speculators/futures players are the ones bidding the price up. Something else that seems to occur is when the Iranian madman opens his mouth and threatens to destroy Israel, the price goes up. Building a new refinery is about as easy as building a nuclear power plant. All of the regulations, licenses, studies, etc., increase the costs so much that no one wants to take the chance. Some of the oil companies enlarge their current facilities, but as long as so many of them are in hurricane territory there is always the possibility they can be damaged or destroyed.