Why is cheap oil prices negative to the economy

But the question is, do they have a yuuuuge one?

 

Because the economy is made up of buyers and sellers, not just buyers.

 

but consumers in India are crying ....prices are the same in the retail pump

 

I was about to write something like this.

 

Certain wells can not be shut down. It is possible for the well to collapse and never reach its previous output level, it happened at Mexico's largest oilfield because of mismanagement.

I can see tankers "leaking" and oil just let ran out in the desert directly from the wells.

 

Sure, however fracking wells could be shut down and then open with no issue.
At least some small advantage with all other disadvantages.

 

Here is a more complex explanation:

 

https://en.wikipedia.org/wiki/Strategic_Petroleum_Reserve_(United_States)

As of March 6, it has 162 million barrels of unused capacity. USG can make some money taking the inventory and store it. $40 a barrel or $6.5T dollars, enough to pay for all of the stimulus funding, save the oil workers' job....

 

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Maybe;
but for oil co buyers, TX, OK realty buyers, gasoline consumers,big oil with cash=maybe a good thing.Hard to believe XOM was once one of the largest cap companies??????????????????????????????

 

Sorry, I didn't understand oil futures, 1 contract is 1,000 barrels. Still that would be $6.5 B dollars for USG.