Big Oil – Domestication of Crude Oil in America


Politicians, the ones that spread class warfare rhetoric and the concept that corporations are evil, would have us believe it is the greedy oil companies that has caused the high prices at the pump. Well, I have addressed this issue before, but here a columnist, Thomas Sowell speaks out on the reality of this issue and once again showing that Congress wastes money on foolish hearings instead of spending their time getting their own house straight:

After Hurricane Katrina destroyed a lot of oil processing capacity around the Gulf of Mexico, there was—surprise!—less oil being processed. With less oil being supplied— surprise again!—gasoline prices rose. However much economists rely on supply and demand to explain price movements, politicians need villains, so that the pols can play hero. Big Oil is a favorite villain and has been for decades. There is nothing like the political melodrama of summoning oil company executives to televised hearings before some Congressional committee, where politicians can wax indignant at Big Oil’s profits. …Big Government takes more money in taxes out of a gallon of gas than Big Oil takes out in profits. But apparently somehow taxes don’t raise prices. They certainly don’t raise indignation from the politicians who voted for those taxes. After the oil processing facilities were repaired and put back in operation—yet another surprise!—prices came back down. Supply and demand has been doing this for centuries but apparently the word has not yet reached some politicians.

Robert Green (as well as Patriot Post) has written an article concerning the benefits of the Dubai Ports deal. Individuals like Pejman Yousefzadeh states:

The negative consequences of this descent into unthinking nativism, protectionism, and the placement of politics over principles that would aid America security interests in the long term may not come fast and furious.

Dan Drezner writes that, in the form of further capitulations to nativism and protectionism – this will serve to further undermine American economic and national security. Professor Drezner wrote:

And might I finally add that I feel ultra safe upon hearing word that the US Trade representative is planning to postpone talks for a USA-UAE free trade agreement. We sure sent the proper signal to foreign investors – and it’s not like the UAE could retaliate or anything.

Harold Hutchinson‘s article An Ally Betrayed believes that the

…decision by Dubai Ports World to sell off its North American operations to an American-based company is the culmination of three weeks of scurrilous attacks that led to the betrayal of an ally. This betrayal is going to have serious consequences for the United States.

The positive input has come too late because Congress is prepared to pass legislation to prevent the company from operating US port terminals. UAE has a good record of security because it runs other ports as well, and wouldn’t US port security fall into the responsibility of the US Coast Guard and DHS? UAE may have ridden the fence between terrorist organizations and the Western world; but maybe we have been too hasty in making a decision concerning this deal.
One thing is for certain, America can no longer be dependent upon foreign oil for reasons of economy and national security and with energy alternatives and innovations in wind, solar and geothermal technologies many Americans have the opportunity to see lower prices at the gas pump and moving toward self-sufficiency. Good for the environment and good for the average American pocketbook – and most importantly, no nation or group of nations can hold the United States hostage over crude oil. 
But that won’t happen with the politicians the voters select today. Time to clean Congress out and vote for those who are more interested in the well being of America and its people rather than political clubs and special interest groups who provide false data/information for whatever ulterior reasoning.
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