OK – maybe it won’t be my only post, but I’m not going to whine about the prices. Honestly, I can afford higher gas prices. Yes it takes away from paying down debt and other bills, but I can afford the mortgage and food and then some. I’m not having the issues that poor folk have with the current gas price, so I’m not going to whine about it.
The current situation is pretty amazing. The cost per gallon has gone up over 33% in the past year. If you’re unlucky enough to be making minimum wage, that means that you’d have to work a day to fill your tank with gas. As crazy as that sounds, it doesn’t take into consideration the massive amounts of money that are being generated by OPEC. Today it was announced that Saudi Arabia would increase it’s daily oil production to 9.7 million barrels per day. At $140 per barrel that means that Saudi Arabia is making $1.3 billion dollars a day – and that’s just Saudi Arabia – and that’s using the Bush peso (that’s the new name for the American dollar).
It gets worse – you can’t pour oil into your tank. It has to be shipped, refined, shipped again, marketed, sold, taxed, and profited on before it gets to you. I’m sure that more than doubles the cost to the purchaser. I go back to that person making the minimum wage of $5.85 per/hour. How does that person do it? At the end of the day – it’s all about the profit the oil makers and the refiners are making off of the backs of people not just in this country, but all over the world.
OPEC can produce 30.4 million barrels a day – that’s $4,263,140,000 that they produce per day. (BTW – how long before OPEC begins trading in Euros?) That’s obscene. So any talk about this being about consumption, demand, the environment – while all true, this has to do with one thing – money.