What will happen to middle east as the world's oil demand continue to decrease?
The U.S. is now energy independent
51–60 of 135 posts
Re: The U.S. is now energy independent
#52Earlier quoted context omitted.
You seem to be correct, at least according to Wikipedia. I may be confusing it with something else similarly named, or exaggerating how Axios on HBO got some exclusives? Not sure. As a side note, I wasn't aware of the following info (again from Wikipedia) but it kinda explains the OP article to me a little more: >In January 2017, Axios hired as an executive vice president Evan Ryan, the assistant secretary of state f…
What does it explain about the OP? Are you saying it's biased in favor of the Biden administration? What part is biased? The article doesn't even depict the situation as necessarily positive. Do you have evidence that Ryan participated? What about other people at Axios? Connecting otherwise unrelated dots is the foundation of conspiracy theories, not fact, and (if Wikipedia is accurate) that was five years ago.
Sure. Since my main takeaway from the article is that it's propaganda click bait where the title and topic is to imply that the U.S. is in a strong position, particularly given the timing and related news of the day, I attribute the underlying intent to "someone at axios wants to write a fluff piece about the Biden admin". Yes, that might be what you call a conspiracy theory, OK. I obviously can't prove it absent commentary from the author or other Axios representative in official capacity.
But come on, really. Pretend it was Trump and Fox.
Re: The U.S. is now energy independent
#53For how long? I've seen estimates claiming that at the rate we are depleting the major shale areas the new glut of shale wells will go into a steep production decline around 2024-26. I dont have all the data but from what I've heard this is pretty temporary.
I’m hoping the transition to electric vehicles will be in full swing by that point. While we use oil for more than passenger cars if the decline in demand could more or less match the reduced supply it would be ideal.
In two to four years? I'm sorry but that's not realistic. It will be bigger than it is now. But not 1000% bigger. Probably not 100% bigger.
Re: The U.S. is now energy independent
#54Can someone explain why during the start of Covid lockdowns, gasoline prices didn’t drop to $1.00/gallon? There was no demand, and plenty of supply. The simple supply/demand curve of my high school economics memory, seems to imply prices should have taken a dive to virtually zero. Sure they went down, but nowhere near what the models I’d learned would predict. Just a rant that lit up inside my brain every time I fill…
Transportation and Taxes alone would prevent it getting that low. https://gaspricesexplained.com/#/?section=whatconsumers-are-... Refiners can also switch to diesel and/or heating oil which appears to be in just as high as demand as before Covid.
I would add that taxes are now a higher proportion of fuel costs - and will probably continue to become so as more carbon and emissions taxes are passed. Of course, this is assuming oil prices don't go parabolic, which they may given our self-destructive energy policies.
Wikimedia has an awesome chart with 2022 data for each US state's tax burden on gas prices for example: https://upload.wikimedia.org/wikipedia/commons/e/e9/Gasoline...
Re: The U.S. is now energy independent
#55Earlier quoted context omitted.
It seems to be a lame argument saying somehow high energy prices no longer affect US consumers. Nonsense. And it grossly simplifies trade flows of refined products and crude flow in and out of the USA.
> It seems to be a lame argument saying somehow high energy prices no longer affect US consumers. From the article: Now, after the shale gas revolution of the last 15 years, the impact is more subtle. Higher fuel prices disadvantage consumers and energy-intensive industries, yes. But there is a counteracting surge in incomes for domestic energy producers and their workers.
Higher fuel and energy costs are some of the worst kind of regressive taxes, because it’s a tax you can’t even avoid.
Energy is the fundamental underpinning of modern society. Today a large part of that energy comes from oil, but not really for much longer.
So maybe better late than never?
Re: The U.S. is now energy independent
#56Can someone explain why during the start of Covid lockdowns, gasoline prices didn’t drop to $1.00/gallon? There was no demand, and plenty of supply. The simple supply/demand curve of my high school economics memory, seems to imply prices should have taken a dive to virtually zero. Sure they went down, but nowhere near what the models I’d learned would predict. Just a rant that lit up inside my brain every time I fill…
In Houston, I remember seeing fuel prices at the start of the pandemic at the pump for close to $1.00/gallon (in the ~$1.10-$1.30 range depending on the forecourt).
Re: The U.S. is now energy independent
#57Can someone explain why during the start of Covid lockdowns, gasoline prices didn’t drop to $1.00/gallon? There was no demand, and plenty of supply. The simple supply/demand curve of my high school economics memory, seems to imply prices should have taken a dive to virtually zero. Sure they went down, but nowhere near what the models I’d learned would predict. Just a rant that lit up inside my brain every time I fill…
I am surprised no one has mentioned it because it's actually very important internationally speaking. Basically what happened was oil demand dropped substantially in China which is one of the biggest and growing consumers of oil. OPEC had an agreement to reduce oil sales and raise prices in response to the sudden decrease in demand.
Russia refused to restrict their supply in defiance of OPEC so the Saudis flooded the market with a bunch of super super cheap oil to undercut Russia. That's what led to the negative prices another commenter mentioned.
The problem was is that most of the US oil production is shale oil production. Shale oil is more expensive to produce than raw crude, which is why it didn't really take off in the US until gas was moving towards the $4.00 mark in the mid oughts. The problem that caused now is that the cheap oil all over the market, combined with the decrease in demand priced out shale oil producers who shuttered and now that demand is returning the companies helping supply don't exist anymore.
As for why it didn't drop lower I was seeing low $2.00 and under in places.
Re: The U.S. is now energy independent
#58[flagged]
Re: The U.S. is now energy independent
#59Earlier quoted context omitted.
You seem to be correct, at least according to Wikipedia. I may be confusing it with something else similarly named, or exaggerating how Axios on HBO got some exclusives? Not sure. As a side note, I wasn't aware of the following info (again from Wikipedia) but it kinda explains the OP article to me a little more: >In January 2017, Axios hired as an executive vice president Evan Ryan, the assistant secretary of state f…
What does it explain about the OP? Are you saying it's biased in favor of the Biden administration? What part is biased? The article doesn't even depict the situation as necessarily positive. Do you have evidence that Ryan participated? What about other people at Axios? Connecting otherwise unrelated dots is the foundation of conspiracy theories, not fact, and (if Wikipedia is accurate) that was five years ago.
[flagged]
Re: The U.S. is now energy independent
#60Earlier quoted context omitted.
What does it explain about the OP? Are you saying it's biased in favor of the Biden administration? What part is biased? The article doesn't even depict the situation as necessarily positive. Do you have evidence that Ryan participated? What about other people at Axios? Connecting otherwise unrelated dots is the foundation of conspiracy theories, not fact, and (if Wikipedia is accurate) that was five years ago.
Sure. Since my main takeaway from the article is that it's propaganda click bait where the title and topic is to imply that the U.S. is in a strong position, particularly given the timing and related news of the day, I attribute the underlying intent to "someone at axios wants to write a fluff piece about the Biden admin". Yes, that might be what you call a conspiracy theory, OK. I obviously can't prove it absent com…
> But come on, really. Pretend it was Trump and Fox
Either there is a factual basis or there's not.
And who are you talking about? Do you have any basis for me saying whatever you are implying? Are you saying everyone says it? Do you have any basis for comparing Axios to Fox? And if it's false for Trump and Fox, isn't it just as false here - you therefore know it's false?
> I obviously can't prove it
There's a lot of territory between proof to empty fabrications. You don't provide any evidence or more than two dots of data on a big graph - which you arbitrarily connect and claim the new line is a trend. Does that person even still work at Axios? In what role? Is there reason to believe they were involved in this article? What about others at Axios - including those directly involved in the article - do they have biases and why aren't they just as likely to affect this article? What about the author or their editor? If Axios had that bias, can you point to other similar articles?
It's absurd to reason, 'this article might reflect well on the White House, therefore it's biased'. Isn't some positive news inevitable?