The 2% Lie So Oft Heard & Repeated

April 28, 2011

According to Alaska’s Lisa Murkowski (ranking member on the Senate Energy and Natural Resources Committee) the government has told us since 1919 that America is running out of oil. The lie:

“The US has about 2 or 3 percent of the world’s proven oil reserves, but we use 25% of the world’s oil.”

Murkowski says the US’ recoverable oil resources are estimated at 157 bb (billion barrels). Additionally there is roughly 900 bb of unconventional oil resources nearing commercialization. But the lie gets repeated and commissions, studies and ‘get to the bottom of this’ exposés do too.

In case you slept through the latest one:  Obama seeks the cause of high gas prices as the Justice Department will look for cases of fraud or manipulation in the oil markets. He’s thrilled about the Birther distraction hoping you won’t notice the Fed still printing money driving down the dollar. He’d really rather get to more adult stuff like filming for Oprah!

Obama’s answer of developing renewable energy sources are slow and costly and no good in the near or even mid-term. Just ask Spain who experimented with massive “green economy initiatives” and is now in economic collapse with a 19% unemployment rate. In America just think cash for clunkers or GM’s heavily subsidized and failing green LEAF car, etc.

Senator Murkowski sums it up:

“If our country endeavored to produce more oil, we could slash imports and stanch the flow of dollars sent to foreign suppliers (all of them our enemies –my words here). At the same time, we could create thousands of jobs and generate hundreds of billions of dollars in government revenue. Our most effective energy strategy is to have oil work itself out of a job by using revenue from production to facilitate the deployment of alternatives.”

Oh, and BTW if you’re still swallowing that oil companies make too much profit check out these other companies and compare. According to Yahoo! finance for the most recent quarterly reports available:

  • Exxon Mobil (XOM) profit margin = 8.89%
  • Apple (APPL) profit margin = 22.36%
  • Microsoft (MSFT) profit margin = 30.84%
  • Google (GOOG) profit margin = 28.43

Why no commissions to demonize these evil capitalist profiteers?

Aloha, Mikie

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