Gas in Houston Tx
Dec 23, 2008 | 09:11 AM
#22
Well I work in the construction industry with a lot of our clients being big oil. Houston as a whole no matter what you believe revolves around the oil industry and the cost of a barrel of oil. A barrel of oil ideally needs to be around $70-80 for the oil companies to make money and feel comfortable enough to start spending money. At $50 they are unwilling to do any more drilling and i believe around that price is were they break even. I don't blame the economy on oil in-fact if you have done some in depth reading you would find out that the government plays a big part in gas prices. If the government would let us drill on our own land we could support our selfs and have cheaper oil like Venezuela. I will try to find the article were a senator interviewed execs from oil companies were the out come ended up making the senator look like an idiot. Greed is the main reason the economy is were it is at weather it be the THIEVES in the financial market that rather than be put in jail received billions of dollars or the UAW who is too ignorant for their own good. The construction industry is declining because of the financial market. We have owners that build $200 million dollar buildings and turn a profit on them once complete that cant get financing for their next building.
At any rate yay gas is cheaper but it needs to go up some and stabilize in order to help boost the economy.
At any rate yay gas is cheaper but it needs to go up some and stabilize in order to help boost the economy.
Dec 23, 2008 | 09:16 AM
#23
Dec 23, 2008 | 09:58 AM
#24
well back when i started driving it was $0.90 a gallon and when my grandpa started it was $0.05 a gallon.
So no drilling rt now because of the cost of a barrel of oil. Most of our oil comes from overseas so when the demand goes back up we will still be behind as far as U.S. supply and we will be taken by the nuts again. Like i stated earlier i don't see all the hate against the oil companies when our govt has a lot to do with it.
So no drilling rt now because of the cost of a barrel of oil. Most of our oil comes from overseas so when the demand goes back up we will still be behind as far as U.S. supply and we will be taken by the nuts again. Like i stated earlier i don't see all the hate against the oil companies when our govt has a lot to do with it.
Dec 23, 2008 | 10:09 AM
#25
TECH Resident
Joined: Nov 2006
Posts: 881
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From: San Antonio
Dec 23, 2008 | 01:20 PM
#27
I'm going to respectfully disagree with you.
I do agree that high gas prices made things more expensive. No arguing with that. But, they were just a part of the commodities (sp?) market that were all too high. It was not the primary cause of the collapse we are seeing.
This was coming sooner or later. Houses and even the stock markets were WAY over-valued and were due for a correction. There is a point where the market can no longer sustain those prices. People quit buying. The correction needed to happen it just sucks that so many families, including my own, have been affected. If we had waited, it would have been worse.
I do agree that high gas prices made things more expensive. No arguing with that. But, they were just a part of the commodities (sp?) market that were all too high. It was not the primary cause of the collapse we are seeing.
This was coming sooner or later. Houses and even the stock markets were WAY over-valued and were due for a correction. There is a point where the market can no longer sustain those prices. People quit buying. The correction needed to happen it just sucks that so many families, including my own, have been affected. If we had waited, it would have been worse.
Dec 23, 2008 | 02:13 PM
#28
Oil is one of the big reasons Houston is not seeing this downturn as bad as many other cities. It's keeping us alive.
The recession has nothing to do with gas prices. Think financial and housing....and people trying to live above their means when they were clearly unable to. There was certain legislation passed in the Clinton era that made it attractive for companies to support these people. If you want to talk greed, talk about the greedy financial CEOs.
Oil went up due to speculation. Oil companies did not fix the prices. Yes, I'm sure they loved it, but they did not cause it. A friend of mine, who's a financial planner, said that by the end of the year, oil would be below 60. And that was at the beginning of the summer! Every bubble bursts. Oil, housing, tech, .com. It plays out over and over.
Diesel went up because of the new ultra-low sulfur requirement. Refineries had to spend millions and millions of dollars building units that added no new capital value. They only met the regulations. The extra cost got passed onto the consumer.
And I love it when people want to tax the oil companies more because of the profits. If you tax a company, who do you think will really pay that tax? The consumer. The company isn't going to take a hit and lose money.
The recession has nothing to do with gas prices. Think financial and housing....and people trying to live above their means when they were clearly unable to. There was certain legislation passed in the Clinton era that made it attractive for companies to support these people. If you want to talk greed, talk about the greedy financial CEOs.
Oil went up due to speculation. Oil companies did not fix the prices. Yes, I'm sure they loved it, but they did not cause it. A friend of mine, who's a financial planner, said that by the end of the year, oil would be below 60. And that was at the beginning of the summer! Every bubble bursts. Oil, housing, tech, .com. It plays out over and over.
Diesel went up because of the new ultra-low sulfur requirement. Refineries had to spend millions and millions of dollars building units that added no new capital value. They only met the regulations. The extra cost got passed onto the consumer.
And I love it when people want to tax the oil companies more because of the profits. If you tax a company, who do you think will really pay that tax? The consumer. The company isn't going to take a hit and lose money.
Well I work for a subcontractor that is at Motiva now. I agree with what you stated.
