They know that if they begin to drill, they will get sued by some environmental group. It's not about whether they have the legal right (assuming they have any right), it's about how they will be challenged by having that legal right. Why bother? It's more cost effective to do nothing.
By the way. What is "Big Oil" anyway? Shouldn't Big Oil be that which controls the oil reserves, rather than those who ask to suck it out and refine it? The Democrats know Big Oil is a coalitian of hostile nations and cultures sitting on top of vast oil reserves. They also know that Exxon is at the mercy of these countries. But it's a better political sell to their constituants that Exxon is "Big Oil" instead of OPEC. I say we tax OPEC.
The federal tax expenditure budget published by the Office of Management and Budget for fiscal year 2007 estimates that the reduction in long term capital gains tax rates on general gains (as opposed to other transactions which are given capital gain treatment by special legislation) is estimated to be the equivalent of a $31 billion dollar subsidy to investors and traders for 2008. MS
Yeah! Raise taxes to lower prices! Woo hoo! Let's take this wonderful concept even further. Food prices are also climbing pretty fast. Let's tax farmers 110% For every dime they make, they owe the feds 11 cents! Woot! They'll be working like crazy, night and day. Yeah, that'll work great! Pretty funny how we are asking other countries to produce more oil when that is just what we won't do. There's no problem so bad that government can't come along and make it even worse. If we want to raise taxes, let's kick up the stupidity tax a notch. Roll out a national lottery.
Although I do agree about no subsidies and government intervention, it's my understanding that the corn used for ethanol isn't consumed by humans anyway.
You haven't answered the question WHY ARE THEY GETTING BILLIONS IN TAX BREAKS!!??? If you use billions to buy back stock, then how the hell can you say you need tax breaks?? It makes me laugh when I hear morons say "oil companies need tax breaks to increase oil production and exploration." THey are using tax breaks to buy back stock! Shouldnt tax breaks be given to companies that need it? No excuse for tax breaks for oil companies, really despicable.
The subsidies need to go bye bye. The oil companies don't set the prices, so windfall taxes are stupid. just a non incentive for oil companies to find more oil, etc. The dems knew this would not pass, in fact they counted on it. Now they will go to the public and tell them how the republicans are giving the oil companies billions of dollars, while the consumer is suffering. this is not my analysis, its right from the mouth of dick morris. he may be a dickhead, but knows his shit.
You haven't answered the question WHY ARE THEY GETTING BILLIONS IN TAX BREAKS!!??? --------------- Companies get "welfare" and "tax breaks" as the result of over regulation and prior onorous taxation, to the point where cos will do nothing. Rather than de-regulate or resind taxes, the gov't, in order to motivate companies, initiates "welfare" and tax "credits" or "tax breaks".
You please explain how taxing oil companies will reduce the cost of gas at the pump for Americans.....