Biden about to speak on Economy/Inflation

Del · Post by **Del** » 10 May 2022, 08:35

The live feed is set up to start any minute now.

https://www.whitehouse.gov/live/

coco · Post by **coco** » 10 May 2022, 08:59

While we are waiting for this momentous speech to begin, I would like to review the history of the discussion thus far:

coco · Post by **coco** » 10 May 2022, 09:03

"He who cannot dance says the drum is bad." - Ashanti proverb

coco · Post by **coco** » 10 May 2022, 09:06

Biden says that he will ask major corporations to avoid price gouging. That'll work.

coco · Post by **coco** » 10 May 2022, 09:13

Summary thus far: Here is problem X, and so we are working on problem X. He isn't saying much about how he's working on it or why his plan should work. He is assuring us that the Republicans don't have a plan to work on it at all, or if they do have a plan, it won't work. Once again, no justification for his statements, just political blathering.

coco · Post by **coco** » 10 May 2022, 09:43

Biden made one accusation that might have some merit. It was quite difficult to understand what he was saying due to his dementia, but he seemed to be saying that US gas producers were strategically sitting on Federal Land leases without pumping oil. That would seem to indicate that they were voluntarily avoiding production to somehow capitalize on the world's increase in oil prices. Whether or not this is true I do not know. I am fairly certain that the major news providers will not prove to me whether or not it is true.

coco · Post by **coco** » 10 May 2022, 09:47

A general summary of the entire speech: Democrat good, Republican bad. Because reasons.

Del · Post by **Del** » 10 May 2022, 10:50

coco wrote: 10 May 2022, 09:43 Biden made one accusation that might have some merit. It was quite difficult to understand what he was saying due to his dementia, but he seemed to be saying that US gas producers were strategically sitting on Federal Land leases without pumping oil. That would seem to indicate that they were voluntarily avoiding production to somehow capitalize on the world's increase in oil prices. Whether or not this is true I do not know. I am fairly certain that the major news providers will not prove to me whether or not it is true.

There is an "environmental cost" tax on each barrel of oil pumped written into the leases. It is an estimate of the damage done by the net carbon emitted. Supposedly, the fed gov will use this revenue to fight climate change (and I also have some beachfront property in Arizona to sell you).

Under Trump, the tax was $12 per barrel.

Biden Admin raised the tax to something like $55 per barrel (no legislation needed; Biden's EPA just estimates the cost).

At this rate, it is not profitable to pump oil until the world market price per barrel is much higher than it is now. Brent Crude is currently $103/barrel.

So yes, oil companies are sitting on the leases until they can pump crude without losing money on each barrel they produce.

coco · Post by **coco** » 10 May 2022, 11:27

Del wrote: 10 May 2022, 10:50
coco wrote: 10 May 2022, 09:43 Biden made one accusation that might have some merit. It was quite difficult to understand what he was saying due to his dementia, but he seemed to be saying that US gas producers were strategically sitting on Federal Land leases without pumping oil. That would seem to indicate that they were voluntarily avoiding production to somehow capitalize on the world's increase in oil prices. Whether or not this is true I do not know. I am fairly certain that the major news providers will not prove to me whether or not it is true.
There is an "environmental cost" tax on each barrel of oil pumped written into the leases. It is an estimate of the damage done by the net carbon emitted. Supposedly, the fed gov will use this revenue to fight climate change (and I also have some beachfront property in Arizona to sell you).

Under Trump, the tax was $12 per barrel.

Biden Admin raised the tax to something like $55 per barrel (no legislation needed; Biden's EPA just estimates the cost).

At this rate, it is not profitable to pump oil until the world market price per barrel is much higher than it is now. Brent Crude is currently $103/barrel.

So yes, oil companies are sitting on the leases until they can pump crude without losing money on each barrel they produce.

Well, that was my one shot at agreeing with Biden. DId anyone find anything good in the speech?

Del · Post by **Del** » 10 May 2022, 12:58

coco wrote: 10 May 2022, 11:27
Del wrote: 10 May 2022, 10:50
coco wrote: 10 May 2022, 09:43 Biden made one accusation that might have some merit. It was quite difficult to understand what he was saying due to his dementia, but he seemed to be saying that US gas producers were strategically sitting on Federal Land leases without pumping oil. That would seem to indicate that they were voluntarily avoiding production to somehow capitalize on the world's increase in oil prices. Whether or not this is true I do not know. I am fairly certain that the major news providers will not prove to me whether or not it is true.
There is an "environmental cost" tax on each barrel of oil pumped written into the leases. It is an estimate of the damage done by the net carbon emitted. Supposedly, the fed gov will use this revenue to fight climate change (and I also have some beachfront property in Arizona to sell you).

Under Trump, the tax was $12 per barrel.

Biden Admin raised the tax to something like $55 per barrel (no legislation needed; Biden's EPA just estimates the cost).

At this rate, it is not profitable to pump oil until the world market price per barrel is much higher than it is now. Brent Crude is currently $103/barrel.

So yes, oil companies are sitting on the leases until they can pump crude without losing money on each barrel they produce.
Well, that was my one shot at agreeing with Biden. DId anyone find anything good in the speech?

I was at the doctor clinic to talk about peepees and poopies. Missed most of it.