Hoops is correct. I shouldn't say that America has had no impact on World crude prices, but not a dramatic impact. We've increased production from 2006 - 2013 enough to grow World crude production by about 3%. If Obama was out of the way, we would have increased production enough to likely have grown World production by 5%.
We have plenty more room to grow production within the next decade if we can get the right government in place.
We have plenty more room to grow production within the next decade if we can get the right government in place.
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Originally posted by: hoops2
"Then how come the promised fruits (lower gas prices) of drill baby drill have failed to materialize? The lowest octane of unleaded is $3.90 a gallon in my neck of the woods. "
A couple of factors in play here. Oil production is close to oil demand, so that keeps the price high. If there hadn't been increased production we would be dealing with worldwide shortages and higher prices. In addition, most of the sources of cheap oil (in terms of cost of getting it out of the ground) are being exhausted. We are left with more expensive sources (such as deep water), so the price of oil remains high due to increased drilling expenses.
Originally posted by: hoops2
"Then how come the promised fruits (lower gas prices) of drill baby drill have failed to materialize? The lowest octane of unleaded is $3.90 a gallon in my neck of the woods. "
A couple of factors in play here. Oil production is close to oil demand, so that keeps the price high. If there hadn't been increased production we would be dealing with worldwide shortages and higher prices. In addition, most of the sources of cheap oil (in terms of cost of getting it out of the ground) are being exhausted. We are left with more expensive sources (such as deep water), so the price of oil remains high due to increased drilling expenses.
