Thursday, April 28, 2011

So, THAT'S why Gas Costs So Much

Exxon Mobile just announced it made an $11 billion profit for the quarter. So clearly the rise in gas prices is not just a matter of oil in the Middle East being expensive.

I'm sure Exxon is a well run company and it will hopefully use some of the money to find more oil, but it clearly is making money.

And of course, the President's stranglehold on domestic drilling is a factor. He says out of one side of his mouth that we must reduce our dependence on foreign oil. Out of the other side he prevents drilling so that our import numbers are soaring. If we could run our cars on hot air it would be perfect.

In addition, you always have to remember that a huge portion of the price of a gallon of gas is tax. The government could reduce the price of gas with one flourish of a pen.
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