On 02/06/2016 08:04 PM, Bob F wrote:
> And prices are down because production drastically excedes demand.
I'm sorry. It does not work that way. So we will assume you meant
that there is an unbalance of _some_ sort and the price is dropping
to rectify it.
The traditional simplification is this:
Demand curves drop as price increases.
Supply curves rise as price increases.
One can assume that there is always demand if the price goes low enough -
that is unless the govenment bans it or it is found to cause cancer to
anyone coming within 100 miles of it.
Nobody produces oil they cannot sell or store. It would be
damned foolish to have to start burning it off the way they
have traditionally done with that oil field "waste product",
natural gas.
> Obviousy,
> lower prices increases usage, but not enough to match the oil being dumped on
> the market.
>
> Funny how righties can't understand cause and effect.
Funny how some people begin shooting off their mouths without
really having an understanding of what is going on.
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