View Full Version : Poop A bit oversimplified but could this work?

09-09-2010, 11:53 AM
So I'm pretty much fed up with being the worlds policeman but I understand that our economy runs on oil. Oil we spend untold billions of dollars to protect the supply of flowing from the middle east. By Most Reports Canada has the 2nd largest oil reserves at somewhere near 179 billion barrels of oil. What if we were to agree to buy all of our oil from Canada,Mexico and any Western country like Norway or Great Briton and even agree to allocate an extra $00.07 per barrel above and beyond the world market price with 5 cents of it going to the Canadians and Mexicans... with the remaining 2 cents being directed into R&D for non oil based energy sources. They agree to be overpaid we get to be in the front of the line for all their exports. Anything they have if we want it, we get it. Wouldn't the additional cost for the fuel be more than offset but the huge reduction in our defense spending, and aid we send to the Middle East? I realize there are some flaws but the idea of us no longer protecting, aiding and funding the members of OPEC just brings a smile to a guys face.

09-09-2010, 12:22 PM
I don't know. Maybe we want to keep that oil there for when we use up all the Middle East's oil.

09-09-2010, 12:39 PM
I think the reality is that the worldwide oil supply is stupendously complicated, with not all raw petroleum being the same (light, sweet crude etc.), and not all of it having the same ease/cost of extraction.

And it all interrelates, so a fire at a big production field in Russia can affect prices worldwide, even if none of that oil ever leaves Europe.

So I don't think you can point to a subset of the global supply and say "that will be mine, everyone else f' off", and it won't result in massive shockwaves in the worldwide oil industry. Also, all of that oil in the western hemisphere is not owned by their respective governments. Rather, many, many entities are involved, so how do you force them to commit to a single buyer without engaging in very lengthy negotiations that will have China and other big consumers rushing to get a slice?

09-09-2010, 12:47 PM
Can't you guys just let a man dream his dream of us not needing to deal with our dear friends in the Middle East? All we need to come up with is an extra 10 billion barrels of oil per day. Oh, and it would also be nice if the rest of our money wasn't going to the Chinese

09-09-2010, 12:54 PM
Oil is fungible, the economy is global, just get over it.

09-09-2010, 01:23 PM
Who's this "we" who's going to "agree to buy all of our oil from Canada, Mexico, etc.?"

You're not suggesting Central Planning are you?

09-09-2010, 01:30 PM
Who's this "we" who's going to "agree to buy all of our oil from Canada, Mexico, etc.?"

You're not suggesting Central Planning are you?

Resistance is futile. You will be assimilated.