Policy question: Inflation

Concart said:
I remember my best professor in college was an over the road truck driver. They are brilliant on economic theory. Thanks for the reminder.

Not one thing you said quantifies the impact. Because you can't. You and your socks are all too stupid. Stick to what you do best. Trolling and providing yourself support in the form of your other socks. You aren't very good at that either, but at least you possess a few skills. You know absolutely nothing about economics. Nothing.
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Concart said:
I remember my best professor in college was an over the road truck driver. They are brilliant on economic theory. Thanks for the reminder.

Not one thing you said quantifies the impact. Because you can't. You and your socks are all too stupid. Stick to what you do best. Trolling and providing yourself support in the form of your other socks. You aren't very good at that either, but at least you possess a few skills. You know absolutely nothing about economics. Nothing.
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Concart said:
Cool, so debating economics should be no problem for you. So let's give it a go, shall we? To what extent does a change in oil prices impact the inflation rate? Is this a question you think you can answer? Quantify the impact, and cite your sources. You want a debate/discussion, I am a willing participant. Are YOU Earl? Begin.

Posit: The increase in oil prices at its peak only added around two percent to overall inflation, and even less to core inflation. This is according to a study conducted by the Federal Reserve. That means that Trumps policy, even if it drastically reduced the price of oil (which it won't, but we can discuss that as well) would only have a minor impact on inflation.

Your turn, Earl.
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2% my ass! You're a functional retard. You're too stupid to even waste time with. Wow.
 
Concart said:
I remember my best professor in college was an over the road truck driver. They are brilliant on economic theory. Thanks for the reminder.
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A truck driver knows a hell of a lot more about economic theory than YOU do, Sybil.
Concart said:
Not one thing you said quantifies the impact.
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The current inflation rate since Biden was installed is 35%. Source: Federal Reserve.
Concart said:
Because you can't.
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35% is a quantity, Sybil.
Concart said:
You and your socks are all too stupid.
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DON'T TRY TO BLAME YOUR PROBLEM ON ANYBODY ELSE, SYBIL!
Concart said:
Stick to what you do best.
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Why? You don't learn anything that way!
Concart said:
Trolling and providing yourself support in the form of your other socks.
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DON'T TRY TO BLAME YOUR PROBLEM ON ANYBODY ELSE, SYBIL!
Concart said:
You aren't very good at that either, but at least you possess a few skills. You know absolutely nothing about economics. Nothing.
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DON'T TRY TO BLAME YOUR PROBLEMS ON ANYBODY ELSE, SYBIL!
 
Walt said:
It is macroeconomics, not microeconomics, but continue.
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A description of how marginal utility works is microeconomics.

Walt said:
Crashing the price of oil means that investment crashes by more. If investment goes up by x every dollar of increase in prices, it goes down by two x with every dollar of decrease. Investors price the risk of lower prices very heavily.
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Who said anything about “crashing“ the price of oil? That ^ post made no sense. Then you talk about investing. The oil companies decide if it’s worth investing more if more exploration is allowed on federal lands. Neither Trump or Brandon make that decision. But you knew that.

Walt said:
So that means that decreasing the price will lead to much higher prices in the long term.
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. As does a decrease in supply. Commodities always fluctuate regardless.
Concart said:
Bingo!
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Bingo what?
 
anonymoose said:
A description of how marginal utility works is microeconomics.


Who said anything about “crashing“ the price of oil? That ^ post made no sense. Then you talk about investing. The oil companies decide if it’s worth investing more if more exploration is allowed on federal lands. Neither Trump or Brandon make that decision. But you knew that.

. As does a decrease in supply. Commodities always fluctuate regardless.
Bingo what?
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Frankly I'm not going to go back and look. I think this thread has devolved into stupidity as usual.
 
Concart said:
During Trumps news conference he claimed that the cost of oil had caused the spike in inflation.

Question: How will a policy of more drilling impact the price of goods and services. To what extent does an increase in oil/energy costs impact the cost of goods.

Please be specific regarding your claim and cite sources. Please state specific numbers.
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If a policy of more drilling meant there would be more drilling it might mean a lower cost for gas at the pump and a lower price of goods and services. However, no president or political policy is going to convince the oil companies to produce more if it isn’t a wise economical decision for them to do so.

The oil industry can decide to produce more oil whenever it wants. In fact, the oil industry already possess more than 9,000 approved—but unused—drilling permits on federal lands. The number of permits already approved is about six times the average number of wells drilled annually. At least one-quarter of these unused leases are sitting on lands that the Bureau of Land Management has deemed to have a medium or high potential for oil. The oil industry has everything it needs to increase production but has chosen to profiteer off the current prices rather than drill and produce more. Four of the major oil companies—Shell, Chevron, BP, and ExxonMobil—posted record profits, totaling $75 billion. In the fourth quarter alone, ExxonMobil was bringing in $97 million dollars in profit every day. U.S. oil companies would prefer to steer cash flows back to investors instead of spending it on new drilling that could flood the world with cheap crude.

https://www.americanprogress.org/ar...es-cant-drill-its-way-to-energy-independence/
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As much as the right would like to think the oil companies would like to increase production but government or regulations are holding them back, that is bullshit. Oil companies have no interest in drilling for more oil and driving prices down. If Trump is elected and he tells oil companies “drill baby drill” they are to tell him to go fuck himself. They will drill when it is advantageous for them to do so. Trump could pay them to drill more but that would be subsidizing a company raking in profits of 97 million per/day, something a moron like Trump might just try.

Oil is a global commodity and its current price is about $75 per barrel. The price it costs to produce a barrel of oil in the USA and remain profitable is about $65. https://www.statista.com/statistics/748207/breakeven-prices-for-us-oil-producers-by-oilfield/
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U.S. Oil companies have projects where they are producing oil for $30 per barrel in foreign countries. https://oilprice.com/Energy/Energy-General/Oil-Majors-Pursue-Projects-with-30-Breakeven.html
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When U.S. oil companies purchase more oil abroad than they produce here it does not mean we are not energy independent. It means that U.S. oil companies are CHOOSING to buy or produce it abroad because a barrel of oil is cheaper for them there rather than produce it here.

If the price were to go to $120 per barrel the USA would easily out produce every country on the planet. The global price was high enough to produce oil and set records here for production under Trump and high enough to break those records under Biden. Neither Trump or Biden are the ones setting the global price for a barrel of oil and neither are responsible for those records, the oil companies are.

To answer your question, Trump is correct that the price of oil/gas certainly contributes to inflation because practically every product you buy depends on the cost to get it on the shelves and oil/gas is what gets it there. When Trump says a policy of “more drilling” means cheaper gasoline that is bullshit because a “policy” does not drill for oil, oil companies do and if profits tell them not to drill, Trumps “policy” isn’t going to make them.
 
Matt Dillon said:
Charts with irrelevant data are no good. Like I said, you're a lying sophist assbag. That doesn't address the subject of inflation in America, idjit.
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You surely know more about the economy than the Fed. So please, tell us how they are wrong. I'll wait.

This is what I meant by devolving into stupidity. It's you.
 
Concart said:
You surely know more about the economy than the Fed. So please, tell us how they are wrong. I'll wait.

This is what I meant by devolving into stupidity. It's you.
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From your link, YOU IGNORANT ARROGANT FUCKING STUPID DUMBASS!
"we examine how oil price changes pass-through to inflation in selected advanced economies (Canada, the U.K., and the euro area)."

^Where exactly does that say "United States", huh?!

NO-FUCKING WHERE WHATSOEVER!!!

Kick yourself right in the ass for me, you goat shit eater.
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Concart said:
You surely know more about the economy than the Fed. So please, tell us how they are wrong. I'll wait.

This is what I meant by devolving into stupidity. It's you.
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Says the moron with no reading comprehension that posts a link to something irrelevant to the subject. Go you!

They may not be wrong about the places they're talking about, but it has nothing to do with America, you fucktarded imbecile!
:facepalm:
 
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