Oil Articles

Republicans on Hill, Campaign Trail Reject Obama Oil Tax

12:34 PM, Feb 05, 2016

The latest dead-on-arrival lame-duck proposal from the White House came Thursday. In a statement about its “21st Century Clean Transportation System" plan, the Obama administration said it would pay for new infrastructure spending with a "new fee paid by oil companies." Here's an excerpt:

So to meet our needs in the future, we have to make significant investments across all modes of transportation. And our transportation system is heavily dependent on oil. That is why we are proposing to fund these investments through a new $10 per barrel fee on oil paid by oil companies, which would be gradually phased in over five years.

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Economics, Not Obama, Killed Keystone

12:03 PM, Nov 06, 2015

President Obama announced today to much fanfare (and to much angst on the right) that he is killing the proposed KeystoneXL pipeline, which would transport Canadian tar sands oil through the United States. But as much as he would like to claim the mantle of environmentalism (this is the man who promised to slow the rise of the oceans, after all) the president is giving himself a little too much credit here. For President Obama is not killing Keystone; the economics of oil are.

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The Guns of August 1990

A quarter-century after Saddam’s invasion of Kuwait, we still haven’t learned the right lessons from that war
Aug 10, 2015

Just after midnight on August 2, 1990, an invasion force of approximately 100,000 Iraqi troops crossed into Kuwait. As mechanized and armored Republican Guard divisions breached the border and sped southward across the desert, Iraqi Special Forces commandos launched airborne and amphibious assaults into Kuwait City. The Kuwaiti military, outnumbered and taken by surprise by the well-coordinated offensive, was swiftly routed.

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Report: Billions Lost From Keystone XL Pipeline Delay

3:14 PM, Jul 22, 2015

A new report by the American Action Forum, a center-right policy institute, details adverse economic consequences of the Keystone XL pipeline's delay.

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The Consequences of Can Kicking

11:01 PM, Jul 17, 2015

Two big deals were signed this week, with one thing in common – can-kicking. The Eurozone countries, more precisely Germany, kicked the Greek debt can down the road for three years by lending the already over-indebted country another €86bn.

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Reform the Corn Laws

4:29 PM, Apr 20, 2015

The original corn laws put tariffs on imported grain in an effort to help domestic producers.  That was nearly two centuries ago, in England, and the experiment is taught as an example of bad economic policy. But people never learn and in this country, today, we have the renewable fuel mandates which have been a boon to corn farmers in Iowa (among other states) where presidential candidates are obliged to speak in favor of a policy that is a drag just about everywhere else in the country.

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Political Cornball

The Hawkeye state is first, don’t think about cutting in line. Big corn will crush you.
12:05 PM, Mar 22, 2015

Iowa took umbrage, last week, over something an operative for Scott Walker said.  Or, to be precise, something she once tweeted.  For her indiscretion, Liz Mair was forced to resign from Walkers political action committee. Walker is not yet an officially declared candidate for president but that is just political coyness.

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Fracking the Constitution

Secessionism on the left.
Feb 23, 2015

Rivers have rights, they say down in Mora County, New Mexico—“inalienable and fundamental rights,” beyond the power of any government to touch. Aquifers, too. Wetlands, streams, ecosystems, and even “natural communities,” whatever that undefined term means: All of them have rights to “exist and flourish.” The land itself has an “intrinsic right” to “exist without defilement.”

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IRS Employee Indicted for Filing False Tax Returns

Fraudulent 2010 BP Gulf Oil Spill Claims
6:10 PM, Feb 20, 2015

A former IRS tax examiner was indicted Friday along with three conspirators

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Paradox at the Pump

The politics of oil
Feb 16, 2015

"We can’t just drill our way to lower gas prices.” As recently as two years ago, that’s what the president was saying—with his usual self-assurance—about the nation’s dependence on foreign oil and on oil in general. And he wasn’t the only one. The line was widely echoed on the political left, where the instinctive feeling is that petroleum is poison. It helped that the opposition, led by archvillainess Sarah Palin, was meanwhile chanting, “Drill, baby, drill.”

What more proof was needed?

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How to Keep Our Oil Bonanza

Time to counter the Saudis with a tariff?
Feb 16, 2015

We are in a war with Saudi Arabia—and losing. The Saudis aim to regain substantial control of our oil supply by driving from the industry many of our shale-oil-producing frackers who have reduced the power conveyed to the kingdom’s rulers by the underground ocean of oil on which their palaces sit. And we seem prepared to let them do just that, by failing to do what is necessary to prevent a reversal of the major strides we have made to get out from under the boot of an avaricious oil cartel.

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The Oil Effect

12:01 AM, Feb 07, 2015

We should “stop thinking about the economy as being in a perpetual crisis” commented Charles Plosser, President of the Federal Reserve Bank of Philadelphia, after the government announced on Friday that the private sector added 267,000 jobs in January, and that upward revisions to November and December data brought total job creation in 2014 to over three million.

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Sorting Out the Saudi Succession

2:22 PM, Feb 03, 2015

Following the death of King Abdullah Bin Abd Al-Aziz, at 90 or 91, on the night of January 22-23, Saudi Arabia is very likely to continue its policies of opposition to Iran and the Syrian regime of Bashar al-Assad, and its participation in the coalition effort against the Islamic State. These alignments are not an expression of mere rivalry between Sunni Saudis and Shia Iranians, or between Saudi fundamentalists and ISIS radicals.

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Bad Start for the One Percent

And perhaps for the rest of us, too.
6:04 PM, Jan 06, 2015

The ZeroHedge headline nails it:

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Confidence on the Rise

2:33 PM, Dec 30, 2014

The economic news has been getting better, especially regarding the price of oil. Which the consumer sees as what he forks over at the pump. And that, as we all know, is one price the trend of which we follow every day.  

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The Wages of Gridlock

2:29 PM, Dec 29, 2014

We’re hearing from all over just how good things are – and are becoming ever more so – and how on top of the game the president is.  There is that 5 percent GDP growth last quarter and an unemployment rate that has dropped below 6 percent (the bar has, obviously, been lowered) and the stock market is burning it up.

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Reason to Be Jolly this Holiday Season

7:35 AM, Dec 27, 2014

An estimated 90 million of us will drive 50 miles or more during this holiday season, and recent years’ gnashings of teeth at the pump are being replaced with smiles. The price of gasoline is down 36 percent since April, to a national average of around $2.40 per gallon, with some cities reporting prices of below $2.

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A Very Good Quarter

10:05 AM, Dec 23, 2014

Reason for good cheer.  The Wall Street Journal reports that:

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The Blessing of Cheap Oil Flow On

3:54 PM, Dec 19, 2014

Thanks to (mostly) fracking you can not only drive to work for less than before, you may now be writing a smaller check to cover the mortgage.  As the Wall Street Journal reports:

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Mexico in Crisis

9:31 AM, Dec 18, 2014

The fiesta is over. Mexico, a remarkably important nation of some 120 million people—indeed, the world’s fifteenth largest economy—is descending into crisis. Students have been slaughtered en masse with the complicity of a corrupt police force. The country’s young president and his finance minster are embroiled in a corruption scandal. And the recent fall in oil prices—which looks set to continue—only portends further suffering.

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The Gas Is Greener

2:43 PM, Dec 16, 2014

As if the plunging price of oil were not enough to doom the market for electric and hybrid automobiles, there is this from ABC News:

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Russia: On the Prowl

9:16 AM, Dec 12, 2014

DW reports that:

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The Pain of a Prius …

4:01 PM, Dec 11, 2014

Kyle Stock of BloombergBusinessweek reports that, while there is undeniably good news for the driving class in the falling price of gasoline:

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OPEC Fini?

10:19 AM, Dec 10, 2014

They had a good run, those oil rich countries that formed a cartel back in 1973 and called it OPEC.

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Emmanuel Putin

2:29 PM, Dec 05, 2014

Charles Lane speculates on just what collapsing oil prices will mean for Russia and Vladimir Putin’s grip on power.  This depends, Lane writes:

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The Upside of Lower Oil Prices

Let’s stop fattening the wallets of our enemies.
Oct 27, 2014

Many of the world’s most serious security threats are enabled—directly or indirectly—by revenues from the high oil prices (about $100 per barrel) prevalent in world markets in recent years. If these prices were reduced substantially (e.g., by 20-30 percent), the liquidity that fuels the threats would probably shrink, as would the threats themselves.

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An Energy Revolution in Our Midst

11:00 PM, Oct 10, 2014

Anyone who doubts that the deployment of the technologies we have come to call fracking constitutes a revolution should consider this. U.S. oil production has soared by 70 percent in the past six years. American refineries have cut in half their imports from the OPEC cartel, setting off a scramble by those countries to find new markets.

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If You Don’t Build It, They Will Leave

1:04 PM, Oct 08, 2014

Seems Canada is tired of waiting – and waiting – for a decision on the Keystone pipeline and has come up with an alternate plan for moving the oil to market.

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The Costs of a Miscarriage of Justice

11:20 AM, Sep 04, 2014

When a class action lawsuit gets settled, the deal has to prescribe how the defendant will pay the members of the injured class and who can be part of that class.

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