posted on Jul, 29 2015 @ 10:26 PM
I'm on the fence with this one.
I've enjoyed the lower price for gas. The trucking company I work for has benefitted as well. They almost went down about a year and a half back.
They've been able to acquire some new equipment and are in fairly decent shape, as a result.
So far that saving hasn't worked it's way down to retail prices, that I can see, especially in groceries and produce. Bottom line is virtually the
complete economic spectrum has benefitted from the new 'reality' of surplus oil.
The push for crude exports seems to have as it's P.R. argument that it would create jobs. Jobs lost due to the lower crude prices. Less drilling and
development has resulted in much less development for future wells. Some have claimed that drop will result in a spike in crude prices down the road
with the drop of new sites coming on line.
The fear of the "boom-bust cycle" is being pushed. Valid or not? 'Ground floor' is the real boom in any industry-just look at the power brokers in
the U.S.. Almost one for one, ground floor entry for fortunes to be made. The last to the dinner table always gets the left-overs. Nothing new there.
These guys are pretty smart cookies as well. They can predict a shortfall well into the future and invest at the opportune time to take advantage of a
Therefore, I don't buy into a serious spike in prices due to a short term drop in development. Is this right or wrong?
Crude exports largely helps big oil in that they have the volume to fill international orders. The boom from shale and fracking has hurt big oil by
dropping their 'return on investment of previously developed, traditional sources.
If I have this right, exports will drive up U.S. crude prices by allowing bid to come from outside the U.S.. Only through higher crude prices will
those jobs develop....at the price of the average consumer...thee and me, not to mention the other industries that have benefitted from a more liquid
public. Consumer goods, car sales, on and on..
On one hand more jobs, on the other more cost to the average guys.
Any input on this?