Gas prices are falling, why hasn't anyone noticing?

Question

All the president has done is released the executive ban on drilling, and the gas prices are falling like crazy. Here the gass prices have gone down from $4.00 to $3.70 in just a few days. Can't people see that if they actually started drilling that gas prices would hit the floor?

What are some thoughts? Why can't people see that this would really work now? Why do they keep saying "oh it wouldn't do anything" when it obviously would?

Answer 1

Yes, more oil production would lower the price of oil. I have to say that I was really happy to see gas prices go from $4.59 to $4.21. But I would be happier if we were less dependent on oil. The thing is that we need to have more than one source of energy, or we will see this sort of thing happen again. Or economy is so dependent on fossil fuels, that when there's a problem, the economy suffers and the people suffer. I'm not saying we ban oil tomorrow, I'm saying we need to get more of our energy from a variety of sources like wind and solar. When you buy stocks, you want to diversify so that if one stock crashes, you won't lose all your money. And that's just the economic reason...there's plenty of environmental reasons too.

Answer 2

ahahahahaha

thats nothing i have heard it was 25 cents a gallon in the 40s

Answer 3

People love to complain?

Answer 4

Gas aint falling where are you at. Here in New York gas averages up to $4.00

Answer 5

Yes, some of us who aren't busy drooling over the Obama Express have noticed very much.  

If you watched the dominos fall; First the President made a speech with no teeth (but it put the Dems on notice and let them start painting themselves into a corner).  No reaction from oil speculators though because it was "just more talk".

Next he came out last week and actually lifted the Executive Order prohibiting exploration and drilling off our shores.  What happened next - Price of oil started dropping (from over $140.00 to $125.00/barrel) What happened next - gas prices at the pump started to retreat - paid $3.83/gal the other day.

But, this is only temporary if nothing else happens (and it won't).  The Dems are counting on the ignorance of the majority of Americans to bail them out again.  They will try to blame all of this on greedy oil companies ( if 8% profit is greedy) and distract us with shiny objects!  

Here is what you must be aware of when you hear that we can't drill our way out of it;

ANWR has 10 billion barrels of oil

Offshore drilling has approx. 18 billion barrels

North Dakota has 4.3 billion barrels

The western U.S. states have oil shale that could yield 2 trillion barrels

This does not even count how much natural gas we have (ANWR also has over 60 trillion cubic feet of gas)

And here is what you need to know about when we could expect to get at some of this oil.  10 years before we see a drop is a total lie and myth.  Industry experts have gone on the record stating that we can start getting some of this oil within 12 months and at the very longest, it may take 7 years for a rig 100 miles offshore to begin production.

Just remember, that all we have to do is make it our policy to begin drilling and oil will be alot closer to $100.00 a barrel.

WAKE UP PEOPLE!

Answer 6

I'm kinda glad that the gas prices are high.

One because I don't drive.

Since it is high, people are going to get desperate and are going to look for alternatives.

Perhaps GMC is going to stop locking away the electric cars.

Answer 7

Yes, prices are falling.  I heard on the radio today that somebody or other mentioned it would be a short-lived thing.  I can't fathom why...but for now it's a bit of relief.  They still have a lot farther to fall to correct a bad situation.

Answer 8

Yeah, that's a great thing.

Imagine how much it will fall if we actually are allowed to drill domestically.

The democrats in congress are about to raise the taxes on gasoline to make up the difference, so hurry and get gas before they do that.

Call or email your senators and tell them to let us drill and not to add any more taxes to our gasoline.

Answer 9

The middle east Arabs pay 50 cents a gallon

Answer 10

Gas prices need to fall much farther.

Yes, drilling is part of the answer.

We also need to start building nuclear power plants.

Nuclear power is the pnly affordable source of power that does not produce greenhouse gases.

Electricity from solar cells costs over 10 times as much as electricity produced by nuclear power.

Although electricity from solar cells sounds nice, it is so expensive to produce we cannot afford it any more than we can afford $4.00 gasoline.

With more generating capacity and with some improvements in the battery technology, electric cars will become practical.

Currently an electric car the size of a sedan cna travel approximately 20 miles on 20 kilowatt hours of electricity.

At 10 cents per kilowatt hour, that is $2.00 to go 20 miles or 10 cents per mile.

An electric power plant produces electric power at a cost of 3 cents per kilowatt hour.

the cost of electricity to run an electric car is much less than the cost of gasoline if the electricity is generated in a nuclear power plant.

Answer 11

Because we know it's temporary.  There's always a minor pullback after a giant run up....then we start the next run to $5/gallon and beyond.

Answer 12

According to the financial reporter on our national news (Australia) the price of gas is falling because of a drop in demand worldwide, mainly due to the high price that fuel reached, i.e. people stopped buying or reduced their use and cycled or bused or walked more or just traveled less.

The British press is saying the same thing

http://news.bbc.co.uk/2/hi/business/7520...

You forgot a couple of things your congress also have a ban in place and even if that were lifted it would be a decade before any of this oil could get to market.

This U.S. site also makes no mention of the Prez but states the cause as a weakening U.S. economy hurting demand, as I said, a drop in demand. U.S. demand dropped 2.4 percent over the last month.

http://www.msnbc.msn.com/id/12400801/

Bill A

"They will try to blame all of this on greedy oil companies ( if 8% profit is greedy)"

You are joking aren't you, in the last few years oil has gone from $20 a barrel to $160 a barrel, with little cost difference to them in terms of getting the gas out of the ground and the price they are being paid going up by 8x if they are only making 8% profit they must be the worst business men in history.

Answer 13

Once again, you're completely misrepresenting the FACTS.

Bush's lifting of the oil ban had NOTHING to do with oil prices falling.

In fact, it was our already weakening economy and FALLING DEMAND across the board--is what contributed to the plunge of oil prices in the past week.

Drilling will not have ANY effect whatsoever on future oil or gas prices.

Answer 14

It is supply demand product.  U.S. gasoline consumption has dropped 4 percent year over year. EIA reports. Even the emerging economies including China have reduced the subsidy to the motorist and their has been a consequent demand decline.   Weaker demand.   Lower prices.

Answer 15

Gas is at $3.70

You say prices are falling...

I say we're still paying too much.

Answer 16

It's political.  If they can lower prices around election time, they can do it now.  Laying claim to more land with oil (monopoly) isn't going to lower prices--just the opposite.  They'll just make sure this never gets into the market by anyone else so prices will be artificially high.  They already have thousands of drilling permits that they're not using--that should tell you what a scam this is!  It's seize, then hoard!  (And Thomas is right--demand is down too and that's supposed to drive prices down!)

"While the opportunities are there, the oil and gas companies have not moved aggressively to increase production. Since 2004, oil and gas companies have stockpiled and then stood idle on almost 10,000 domestic drilling permits covering 68 million acres of federal land. Offshore, just 10.5 million of the 44 million leased acres are currently being used to produce oil or gas.

If the inactive leases already granted were put to good use immediately, an additional 4.8 million barrels of oil and 44.7 billion cubic feet of natural gas could be produced each day.

That would nearly double total U.S. oil production, and increase natural gas production by 75 percent. The oil production represents over 14 years of current U.S. consumption, and 30 years of current domestic natural gas consumption

The question should not be whether to further expand drilling off the shores of places like North Carolina, but why oil and gas companies are stockpiling and sitting idle on the existing opportunities. Rather than debate more risky offshore drilling schemes, we need to be holding gas and oil companies accountable for their malfeasance in failing to act on existing opportunities.

REP. G. K.

BUTTERFIELD

1st Congressional District"

http://www.reflector.com/opin/content/ne...

http://www.thememoryhole.org/corp/gas-pr...

"Large oil companies have for a decade artificially shorted the gasoline market to drive up prices," said FTCR president Jamie Court, who successfully fought to keep Shell Oil from needlessly closing its Bakersfield, California refinery this year. "Oil companies know they can make more money by making less gasoline. Katrina should be a wakeup call to America that the refiners profit widely when they keep the system running on empty."

http://www.commondreams.org/news2005/090...