If states are having a hard time balancing their budgets now with gas around $3/gal, just think how loud the law makers are gonna scream when it drastically drops.
Will they start cutting social programs or are state employees gonna get furloughed? Will the trucking industry begin lowering their rates because one of their built in costs almost vanishes? Will wages stagnate because prices begin to be reduced, thus companies won't be making as much revenue?
This might be a way of helping new home buyers get a home loan. Will people want to go to work for lower wages?
Look, I'm just spitballing here, but if America begins draining Venezuela 's oil fields and shipping it to America, we will be swimming in cheap priced gas. That has a trickle down effext. What can you see that might happen? Will it be sunshine and roses or will there be severe belt tightening within the halls of state governments to keep the lights on?
We have a lot of refineries on the Gulf coast.
"We have a lot of refineries on the Gulf coast."
...not for this thick goop...
https://www.cfr.org/expert-brief/increasing-venezuelas-oil-output-will-take-several-years-and-billions-dollars
President Trump just shipped 20-50 million barrels of the goop to a refinery in America after Delta Force operators seized a oil tanker a couple of days ago. Yes, we have the refineries to distill gas from heavy oil.
I think that was silver of gold on that tanker, hence the Russian escort.
Venezuela's crude is really high sulfur, worse than Canadian crude from what I hear. I don't recall if the Gulf Coast refineries are able to handle it right away without it shortening the life of their equipment.
Venezuela has a three hundred year supply of oil sitting under its land and we now have access to it. Do you think we will turn our noses up at that potential or will the refineries retool their cat crackers to handle the oil? I think America yearns for cheap gas and President Trump is very willing to tell the big oil companies to retool for the good of America. We have the technology, we have the oil, we will get it refined and sent throughout the country.
51 - I don’t think we’ll be using that much of the Venezuela’s oil. I think we’re headed towards natural gas and nuclear.
I agree. I think this move by Trump was more about restricting Chyna than America.
No, fusion and hydrogen. Both have been tested and both are safe and cheap to make as far as power goes.