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Old 05-03-2011, 07:55 AM   #10
thstone
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Join Date: Nov 2010
Location: Los Angeles
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Brucelee, I meant to respond back...

Yes, $10,000,000,000 profit per quarter for a single company seems excessive and generally proves my point that there is inadequate competition in the oil industry. Only when competition is weak can a few companies control a market well enough to rack up some of the biggest profits of all time.

The oil companies are not doing anything "wrong" when they do this - in fact, they are doing exactly what they are supposed to do and designed to do - make as much profit as legally possible.

Thus, if I had any say in the matter (which I don't), I'd intoroduce measures that would increase competition to improve the efficiency of the overal oil market.

Just my humble opinion.

This makes no sense, sorry. The oil companies are big and generate alot of revenue. They also require a huge amount of invested capital. In proportion, they are "normal." Moreover, there are tons of smaller oil companies that you never hear of because they are.

I know them and invest in them. Believe me that the industry does not realize super normal profits.

Think of it this waY:

Exxon profit on a gallon of gas: .02 cents

Total tax on gallon of gas in many states: over .50 cents.

Who is raping whom?
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Last edited by Brucelee; 05-03-2011 at 08:46 AM.
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