| Start the drilling, build new refineries, and sell it at a lower price then what OPEC does.
If you have cheese pizzas and you sell them for $15 a pop and they cost you $5 to make that means you make $10 in profit. But if you only sell three in one day you only make $30 a day.
If I have cheese pizzas and I sell them for $1o a pop and they cost me $5 to make that means I only make $5 in profit. But because I have the same product at a lower price do you think people will buy more of yours of mine? Sure, you might make for per protect but if I sell thirty pizzas then that means I make $150 in profit.
Same with oil. During the 1980s oil dropped up to 42% in price per barrel for the same reason. After the Oil Embargo the US stated that we would drill for our own oil and would develop are coal and shale into oil. OPEC immediately lowered the price and increased production because they knew that if the US started producing their own oil that they would lose their main source of profit and also that they would have to compete against another major oil producer.
While we do this we must go into a huge industrial project to the same level that we went for atmotic weapons during WWII for an alternate source of fuel.
Biofuel from corn isn't the answer. It produces less energy, cannot be piped, and we're burning our own food source. To transport biofuels you must truck it period. Gasoline and oil can be piped. Biofuel produces less BTUs then Gasoline so for the same amount of distance you need to use more biofuel then gasoline. Lastly the energy needed to produce biofuels is more then what biofuels produce.
For electrical power for homes and services. Nuclear is the way to go. Cheap, long lasting, and reliable. It is safe. The Soviets weren't safe... they were a bunch of drunken chimps.
For transportation. Hybrid is currently the way to go but there are a few problems with it. One, price. There are not many people that can afford a $30,000 automobile. The price of Hybrids need to drop to the $10,000 range. Number two, it might seem small and trivial. Looks. Hybrids should not look like some small damn egg. Make then in standard designs and styles. Make them for pickup trucks and full side four door sedans.
As a replacement. Electrical cars don't work. They didn't work in the past either. The reasons are just as now as in the past the following. One, charge time. With gasoline it takes two minutes to fill up a tank and you're done. With electrical automobiles you need to have them charge for hours. Two, transportation of fuel. You can take extra jerry cans of fuel but you can't transport electricity the same way. Batteries are bulky and expensive to produce and transport. Three, battery life. You get no range for electric powdered cars. 40 miles is about the max for a full charge. Most people travel close to 40 miles one way to work. Doesn't work for our economy. Everything is transported by truck over long distance. Also during disasters, electricity is easily cut of during storms, quakes, tornadoes, etc... You can stock up on gasoline but you can do so with electricity. You can still manually pump fuel out of tanks but if you have no electricity flowing through the power lines you have no enegry for an electric car.
What we need for a alternative fuel source is possibly hydrogen or maybe some other easy transportable and productional fuel. |