Who profits more, for less?

Who profits more, for less?
July 11th, 2008  

Topic: Who profits more, for less?

Who profits more, for less?
The national average tax paid (Local, State and Federal combined) on a gallon of gas is about 46 cents.

The average profit made by the oil companies on a gallon of gas is about 28 cents.

So, let me get this straight.

The oil companies a) have to fight the bureaucratic red tape for oil leases, b) explore/determine the best place to drill, c) construct/setup the oil rigs on land or build multi million dollar off shore oil platforms, d) drill the oil, e) transport the oil via pipeline, tanker or truck, f) refine the oil at their multi billion dollar refineries, g) markets the products, h) transports the products, i) and pays the millions of employees that this single industry creates……And the oil companies profit only about 28 cents from a gallon of gas.

The Local, State and Federal governments profits about 46 cents (National average) from a gallon of gas and THE GOVERNMENT DOESN’T DO A DAMN THING!

And now these bureaucratic hacks want to impose windfall profit taxes on top of what these oil companies are already taxed.

How in the hell is taxing the oil companies more than what they are being taxed already going to bring down the price of gas at the pump?

The answer is it wont. Just the opposite will happen. The windfall profit tax will be past down to the consumer.
July 11th, 2008  
A Can of Man
The government does do a lot actually in the political arena. It opens up new drilling opportunities by twisting the arms of governments who happen to govern oil rich areas.
But forty odd percent is a bit on the heavy side.
July 11th, 2008  
The Other Guy
28 cents times 15 gallons of gas times 250,851,833 vehicles. That's over a trillion dollars a year, if they fill up once.

I'm not too upset.
Who profits more, for less?
July 11th, 2008  
It pains me to say this, but 5.56 is actually right on this.

The Democrats original Idea to increase taxes on oil companies will have no effect because the oil companies will simply pass the tax hikes to the consumer.

A better plan (the one Obama talks about) is to simply end the Billions in government subsides that Washington gives the oil companies. For an industry whose profits were over $400 Billion I really don't see the reason why the government should be giving them any handouts as they are hardly the ones suffering in America.
July 11th, 2008  
Duty Honor Country
I agree. They get something like $11 over 10 years. With that much profit, they can easily deal without a government handout.

Thats $1 billion down, only $299 billion to go until we can almost cry out balanced budget
July 12th, 2008  
Newt Gingrich is the man, Drill here, Drill now.

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