Posted on 07/09/2009 8:42:45 AM PDT by Rufus2007
There could be a potential “tax break” the no one in the news has really picked up on with this ailing economy – a big drop in the price of oil. Although the media hype price increases, oil prices are dropping and could be heading toward lows not seen since 1999.
Philip Verleger, a business professor at the University of Calgary and visiting fellow at the Peterson Institute for International Economics told CNBC’s July 8 “The Kudlow Report” how the cost of oil might drop. Verleger explained why the current price of oil – at $60 a barrel, off its $72 highs, is still way too expensive for the market and why it could come tumbling down to $20.
...more (w/video)...
(Excerpt) Read more at businessandmedia.org ...
Well, the Arab oil sheiks and their business buddies may try to “talk it up” in regards to oil prices, but the market realities will bring it crashing down... :-)
It’s good to know that Muslim terrorism will be getting less funding as a result of this.
I predicted the last $30 bottom, the next will be $38.
They just have no place to store all the crude that has been shipped in the last 6 months.
No joke. It cost way more than that to get it out of the ground.
Harry Dent predicted bubble burst for commodities
This is not necessarily good news for the economy. A dead patient has very low blood pressure.
http://www.youtube.com/watch?v=e_JzAEzYLt4
You said — Why are prices at the pump rising?
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Ummm..., let’s see... “because you’re buying it?”... LOL...
Poor choice of words. More like a pay raise.
You’re right, it’s not a tax break, but for the most part higher oil prices are a dead weight loss the the nation since we import so much of our energy from despots.
Lower energy prices mean less of our money being transferred overseas supporting detestable regimes.
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Also a 30,000 dow I seem to recall....Now a depression til 2020??
Because it's closer to 20% that are unemployed, and it's heading higher.
Anyone who believes this nonsense, can become a millionaire by selling “big oil” short. Post your results here.
They've been dropping (modestly) here in Louisiana for the past few weeks.
You said — No joke. It cost way more than that to get it out of the ground.
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Ummm.., the trouble is..., once you’ve gotten it out of the ground, and no one wants it, it’s liable to sell for less than it cost to get it out of there in the first place.... :-)
Don’t rejoice too long over low oil price, it will just encourage the Fascicrats to tax it enough to make it too expensive to use.
My gas bill from Louisville G&E shows a gas component cost on each bill. Interestingly, when gas had dropped by 2/3 that item went down 10% (for our Democrats out there 10% is a lot less than 2/3!).
It wasn’t until winter heating season was over that the “gas component cost” went down any more (and not nearly 2/3). Which was roughly 9 months after NG made the 2/3 drop.
I called LG&E to get an explanation of “gas component cost” really means. Pi**ing into the wind on that.
Prices have been dropping around where I live. Was $2.69 last week. It is $2.49 today
But gas taxes will go up to make up for lost revenue ...
You said — Because it’s closer to 20% that are unemployed, and it’s heading higher.
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When we hit 25%, then we will be at the Great Depression highs for unemployment. That kinda makes a person think a little bit...
Interesting, but this is a guys opinion and this was never mentioned ever before even in President Bush’s terms. Hopefully people will get relief from this cheap gas we are about to get.
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