While there's an argument to made that the prices are artificially high now, long term, it's hard to argue against dwindling supply. The fact that Big Oil is drilling in deeper water and more difficult situations says what it says. You might think this would trigger a serious reaction by political leaders to embrace new energy, but that would be ignoring the deep financial ties between Big Oil and government. CNBC:
Oil prices are likely to continue rising despite their recent spike, because the world's oil reserves are dwindling, famous investor and commodities bull Jim Rogers told CNBC Thursday.NOTE FROM JOHN: With prices constantly going up, there's not exactly an incentive for Big Oil to go find more oil. Why should they? They're going to spend that much more money looking for more oil, just so that the prices will go down? The only time they'll look for more is when they start losing money.
In March, Rogers predicted that crude prices will rise over the next decade.
"Where is the oil? I still want to know where is the oil? You know why the price of oil is going up? Because there is no oil," he said.
Speaking of oil companies, why are we still giving them massive taxpayer funded subsidies when they continue to make massive profits? ThinkProgress walks us through the Republicans who claim they want to get rid of those subsidies and then keep voting against legislation to get rid of them.
