Free Republic
Browse · Search
News/Activism
Topics · Post Article

To: Steely Tom

The laws of economics show no favorites and no allegiances. In a free market, the law of “supply and demand” favors that which is most advantageous for the aggregated market. Cheap oil is bad for drillers, but good for everyone else. Henry Ford put buggy whip manufactures out of business, but the advantage to the market was undeniable. If there continues to be less exploration, scarcity will result in higher fuel prices to consumers which will in turn lead to economic profits for exploration etc. If one is invested in a drilling company, it is time to adapt to the market, it is never a good idea to try to force the market to adapt to a particular business or business model.


7 posted on 01/07/2015 10:49:51 AM PST by DaveyB
[ Post Reply | Private Reply | To 3 | View Replies ]


To: DaveyB

But here’s the question: how much oil is left in the Persian Gulf region? And don’t forget about the potential for political instability in that region, which will cause supply disruptions.


8 posted on 01/07/2015 10:53:33 AM PST by RayChuang88 (FairTax: America's economic cure)
[ Post Reply | Private Reply | To 7 | View Replies ]

Free Republic
Browse · Search
News/Activism
Topics · Post Article


FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson