No Free Market in Oil
I forget, sometimes, that there is collusion in the oil industry.
Not secretly between Exxon and Chevron and Royal Dutch Shell but publicly and proudly, via the transparently named: "Organization of Petroleum Exporting Countries", although even better would be CPEC - "Cartel of Petroleum Exporting Countries".
So my prediction of $100 a barrel was beginning to look good but now it's a pipe dream. As my brother-in-law says: "Any release from the Strategic Petroleum Reserve would net a nearly equal drop in OPEC production ... They intend to keep oil in the $125/barrel neighborhood."
While on the subject of economics, came across a quote in Reid Buckley's book that reminds me of Darwin Catholic's philosophy regarding capitalism: "The problem with socalism is socialism. The problem with captialism is capitalists."
No comments:
Post a Comment