Thread: Supply & Demand: Exxon demands $11,000,000,000 in profits/quarter

It's a combination of factors.

I wonder how the tax on each gallon compares to Exxon's profit?

Matt

Originally Posted by MattInFla

It's a combination of factors.

I wonder how the tax on each gallon compares to Exxon's profit?

Matt

I don't know that it's relevant - have the taxes changed?

I swear I could set my watch by you people...

Some facts to destroy your thread:

Less than 3 percent of ExxonMobil’s earnings are from U.S. gasoline sales
ExxonMobil’s earnings are from operations in more than 100 countries around the world. The part of the business that refines and sells gasoline and diesel in the United States represents less than 3 percent – or 3 cents on the dollar – of our total earnings. For every gallon of gasoline, diesel or finished products we manufactured and sold in the United States in the last three months of 2010, we earned a little more than 2 cents per gallon. That’s not a typo. Two cents.

E

xxonMobil is one of the largest taxpayers in the United States
Last year, our total taxes and duties to the U.S. government topped $9.8 billion, which includes an income tax expense of $1.6 billion. Over the past five years, we incurred a total U.S. tax expense of almost $59 billion, which is $18 billion more than we earned in the United States during the same period. Critics often try to ignore these facts by saying the oil and gas industry receives “subsidies.” But what they really mean is that they want to increase our taxes by taking away long-standing deductions for our industry while leaving these same deductions in place for other sectors of the economy.

Gas prices and industry earnings: A few things to think about the next time you fill up | ExxonMobil's Perspectives Blog

Yes, we want to take away Exxon's deductions. Cry me a fucking river.

And their per-gallon profits are really irrelevant, aren't they? The fact is that they netted $11B in profits last QUARTER while jacking up gas prices in the USA, and getting nice tax breaks (i.e. subsidies) from the US Taxpayer.


And you support more corporate welfare for them.

Originally Posted by pramjockey

Yes, we want to take away Exxon's deductions. Cry me a fucking river.

And their per-gallon profits are really irrelevant, aren't they? The fact is that they netted $11B in profits last QUARTER while jacking up gas prices in the USA, and getting nice tax breaks (i.e. subsidies) from the US Taxpayer.


And you support more corporate welfare for them.

It seems to me that reducing their subsidies will yield even higher prices at the pump. If you have a solution that prevents that, I'm all ears.

Matt

Originally Posted by pramjockey

Yes, we want to take away Exxon's deductions. Cry me a fucking river.

And their per-gallon profits are really irrelevant, aren't they? The fact is that they netted $11B in profits last QUARTER while jacking up gas prices in the USA, and getting nice tax breaks (i.e. subsidies) from the US Taxpayer.


And you support more corporate welfare for them.

I could say yes... because I know that "corporate welfare" really means a deduction or credit for doing thing that Congress wants them to do. (See GE)

I know how the tax code works...

You... maybe not so much.

That 97% of this 11 billion you rail about didn't come from US sources is a whole other matter... but don't trouble yourself with that either...

Originally Posted by MattInFla

It seems to me that reducing their subsidies will yield even higher prices at the pump. If you have a solution that prevents that, I'm all ears.

Matt

Break 'em up like AT&T since basically we've got an oligopoly anyway. Create real competition with smaller companies that are smaller and agile, but actually have to compete with each other, instead of the effective price fixing that we have today.

And regulate the fuck out of them. Make air traffic control look like unfettered barbarism.

Originally Posted by pramjockey

Exxon Earns Nearly $11 Billion, Most Since 2008 : NPR

Yes, Exxon earned $11B in the first quarter of 2011. In a down economy. Nearly double from last year.

Does anyone really believe that high gas prices are a result of "supply and demand" of oil?

Partly, yes. Oil production has not (cannot) grown, but demand continues to increase. Geopolitical factors as well as speculation also play a role. I do not believe that high gas prices are a result of artificial increases in prices.

Keep in mind, gas prices are still cheaper than bottled water.

Andrew

Originally Posted by Andrewl

Partly, yes. Oil production has not (cannot) grown, but demand continues to increase. Geopolitical factors as well as speculation also play a role. I do not believe that high gas prices are a result of artificial increases in prices.

Keep in mind, gas prices are still cheaper than bottled water.

Andrew

Well, who drinks bottled water?

Horrible for the environment on many levels.

Originally Posted by pramjockey

Break 'em up like AT&T since basically we've got an oligopoly anyway. Create real competition with smaller companies that are smaller and agile, but actually have to compete with each other, instead of the effective price fixing that we have today.

And regulate the fuck out of them. Make air traffic control look like unfettered barbarism.

How small can a company operating a refinery be?

Here is a recent graph from the EIA.



Without timely alternatives high gas prices are here to stay for the long term - probably much higher than they are at today.

Andrew

Originally Posted by pramjockey

Exxon Earns Nearly $11 Billion, Most Since 2008 : NPR

Yes, Exxon earned $11B in the first quarter of 2011. In a down economy. Nearly double from last year.

Does anyone really believe that high gas prices are a result of "supply and demand" of oil?

Well let me think about this for a minute....you're in the business of drilling for oil...oil is an exchange traded commodity so you really don't control the offer price per bbl....price per bbl is something like $112 per...

Yep, I can certainly see how they're making money.

Originally Posted by MattInFla

How small can a company operating a refinery be?

Much smaller than ExxonMobil or Royal Dutch Shell. Do you think that a refinery company really needs to be a $300B company?