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What are the causes of the high price in oil in US today?

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βˆ™ 2006-08-31 04:00:06

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Partially, it's a matter of "supply and demand". Asia is using far more oil than in the past. There is an economic surge in the Far East, and they are using much more oil than they have in the past. Couple that with the fact that the U.S. is using far more oil as well. We have more drivers driving more vehicles. We have more factories using more oil and electricity. Much of the electricity in the U.S. is generated by oil fueled generators as opposed to the nuclear generators that are used in much of the rest of the world. While Middle East oil fields are still generating oil, they are able to charge whatever they like, since Environmentalist extremists are preventing any possibility of drilling in the large, untouched oilfields of Alaska. We are also having trouble getting any kind of action in the oil shale and tar sands of the Western U.S. So it's only PARTIALLY supply and demand. We're being held back by the extremists and it's costing the ordiary people who only want to have a car to go to work.

2006-08-31 04:00:06
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