Saudi Arabia has a cost of about $6 to extract a barrel of oil.
The United States has a cost of about $35.
In Saudi Arabia, oil is so easy to extract it is often described as sticking a straw in the sand and out oozes oil.
In the United States, the oil is harder to get to and requires more labor and specialized contractors.
The good news is the United States has ten times more oil than Saudi Arabia.
The bad news is that Saudi Arabia wants to bankrupt the oil producers in the United States.
The reality is that if America is to achieve energy independence in terms of oil, it will need to protect Americans and the American oil industry.
“Energy independence” isn’t as important as having cheap energy. We can be independent and be paying high prices. Not so good. Free markets and free trade mean increased competition, better quality and lower prices. Protectionism just props up one favorite son and special snowflake on the backs of everyone else. It’s no different than a tax. It’s a terrible, anti-freedom policy.