September 28, 2012
Obama Hands Big Oil 1.8 Billion Per Year
As Victor Davis Hanson wrote in February, “Now What? The Obama administration’s real problem is existential: What if it gets what it wants, but then finds that either it or the country really is uncomfortable with what it got?”What the administration says it wants of course is to screw big oil and help out the little guy. Right? I mean isn't that the leftist narrative.
So there's Obama himself dogging the profits, saying a 1 cent increase in gas prices earn oil companies $200,000,000 per quarter. If you take the increase since Obama took office, $2.26 that adds up to 1.8 trillion $1,808,000,000.00 per year in increased profits.
Its like I explained to my son the other day. The liberal Democrats will tell you they are for the little guy. They are there to help. But if you are an oil company taking a percentage of the sale price as profit, which makes more profits? The higher price or the lower price? Of course even in the midst of the fog of teenage rebellion he was able to comprehend that paying more sucked.
The same is true for the little guy, what is better for your pocket book and freedom of travel. Less regulation and lower prices or course.
The world is full of paradoxes like that. That those who pay lip service to the evil oil companies, who describe higher energy prices as the right thing to do. Who claim to want to help the poor actually act opposite the interest of those them claim to support and in the interest of those who they claim to oppose.
Even Obama's current argument that no incentive is needed to encourage more exploration and production because the current price would support more exploration without incentives is flawed. Without such incentives the oil companies could just not explore and let the upward pressure on prices allow them to make more and more money on less and less supply.
One thing for sure Obama is always for higher oil prices and profits, unless its getting close to November during an election year. Tell me I'm wrong.
Hat Tip: Instapundit.