Elon, don't ask questions! Just write the check!!!

#26
#26
Vol8188 said:
Ban on new drilling on federal land is the only other thing I can think of that he may be referencing
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That's a dumb decision, of course. But existing operations are still pumping?
 
#29
#29
McDad said:
That's a dumb decision, of course. But existing operations are still pumping?
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Sure but future production is factored into current price. If you told me there’d be less wood supply in 10 years, the amount I would want for my house would increase based on the anticipation of that future shortage
 
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#30
#30
Grand Vol said:
Bet you wouldn't mind having "Horrible Human Being" gas and food prices about right now...
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We would be in the same boat regardless of who was in office. I think Biden is a clueless old fool. You know my opinion on Trump.

Honestly, I may sit out presidential elections because they are all equally worthless.

 
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#31
#31
Vol8188 said:
Sure but future production is factored into current price. If you told me there’d be less wood supply in 10 years, the amount I would want for my house would increase based on the anticipation of that future shortage
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It is a fair point. There is a 'futures' market for a reason with commodities.

According to the BLM (Bureau of Land Mgmt), about 8% of all domestically produced oil comes from Federal Lands. This doesn't excuse Biden's decision, but the impact on the price relative to new drilling prohibition, must be minuscule. With that said, oil futures are hyper reactive so the increase may not be proportional to the expected decrease in future production.
 
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#32
#32
McDad said:
I know I wouldn't.

I wonder though, wasn't the inflationary spike inevitable with the massive increase in federal spending, the wage spike, and the supply issues? Seems like it would have happened no matter who sat on the throne.
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Yes the inflation would have happened eventually. Gas likely didn't increase quite as much without a Dem in office demonizing fossil fuels

Imo the supply issues are being exacerbated by the desire of the unions to get free money from the infrastructure bill. Trump likely would have embraced the Florida ports alternative and goods would be flowing a little better. I think the spending still would have happened though
 
#34
#34
utvolpj said:
Yes the inflation would have happened eventually. Gas likely didn't increase quite as much without a Dem in office demonizing fossil fuels

Imo the supply issues are being exacerbated by the desire of the unions to get free money from the infrastructure bill. Trump likely would have embraced the Florida ports alternative and goods would be flowing a little better. I think the spending still would have happened though
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Is that what the holdup is on the west coast port?
 
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#36
#36
McDad said:
Are you referencing Keystone pipeline or are there other factors I've missed?
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Oil is one of the only products on the market that prices aren't solely based on supply and demand. Future contracts play a dominant role in the price you see at the pump. Biden's executive action to suspend oil leases in late January are effecting what we are seeing now.
 
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#37
#37
utvolpj said:
Yes the inflation would have happened eventually. Gas likely didn't increase quite as much without a Dem in office demonizing fossil fuels

Imo the supply issues are being exacerbated by the desire of the unions to get free money from the infrastructure bill. Trump likely would have embraced the Florida ports alternative and goods would be flowing a little better. I think the spending still would have happened though
Click to expand...

The supply issues will be further exacerbated by the vaccine mandates Biden is rolling out.
 
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#38
#38
Vollifer1949 said:
Oil is one of the only products on the market that prices aren't solely based on supply and demand. Future contracts play a dominant role in the price you see at the pump. Biden's executive action to suspend oil leases in late January are effecting what we are seeing now.
Click to expand...

mininmally
 
#40
#40
Vollifer1949 said:
Oil is one of the only products on the market that prices aren't solely based on supply and demand. Future contracts play a dominant role in the price you see at the pump. Biden's executive action to suspend oil leases in late January are effecting what we are seeing now.
Click to expand...
Agreed. I acknowledged your point a few posts later. However, I am not sure the ban on new drilling on federal lands (8% domestic production) is directly driving the increase in futures or if it is indirect based on rhetoric. It's a minor point, because the hit to consumers is real regardless of the reason for the spike.
 
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#42
#42
McDad said:
Is that what the holdup is on the west coast port?
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I can't find that listed as the mitigating issue anywhere outside of the fringe partisan rags, and even then it's scant.

The problem appears to be multifaceted:
  1. Americans decided to buy significant amount of stuff during the pandemic, with some industries seeing 74% increases in orders.
  2. Truck drivers are in short supply due to an increase in retirements.
  3. Shippers are slow to pick up their empty containers, causing logjams.
  4. Port logistics are at a loss a to how to balance these three issues, and longshoremen can't just unload stuff without Port Authority direction. They are willing to work around the clock, they just have to be told what to do first.
Sources
Shipping disruption: Why are so many queuing to get to the US?
‘All hands on deck’ at Seattle and Tacoma ports as supply chain bottlenecks persist
 
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#43
#43
utvolpj said:
It is based on reports that truckers aren't running 24/7 with containers. Our ports are 3x slower than others worldwide. The only reason I can think of is the union crane guy making $250k with no fear of being replaced
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Are the ports in Florida also using Union labor?
 
#45
#45
AshG said:
I can't find that listed as the mitigating issue anywhere outside of the fringe partisan rags, and even then it's scant.

The problem appears to be multifaceted:
  1. Americans decided to buy significant amount of stuff during the pandemic, with some industries seeing 74% increases in orders.
  2. Truck drivers are in short supply due to an increase in retirements.
  3. Shippers are slow to pick up their empty containers, causing logjams.
  4. Port logistics are at a loss a to how to balance these three issues, and longshoremen can't just unload stuff without Port Authority direction. They are willing to work around the clock, they just have to be told what to do first.
Sources
Shipping disruption: Why are so many queuing to get to the US?
‘All hands on deck’ at Seattle and Tacoma ports as supply chain bottlenecks persist
Click to expand...
PJ doesn't trend hyper partisan. I wouldn't dismiss his post out of hand.

Thanks for providing a link. Gonna check into it now.
 
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#46
#46
AshG said:
I can't find that listed as the mitigating issue anywhere outside of the fringe partisan rags, and even then it's scant.

The problem appears to be multifaceted:
  1. Americans decided to buy significant amount of stuff during the pandemic, with some industries seeing 74% increases in orders.
  2. Truck drivers are in short supply due to an increase in retirements.
  3. Shippers are slow to pick up their empty containers, causing logjams.
  4. Port logistics are at a loss a to how to balance these three issues, and longshoremen can't just unload stuff without Port Authority direction. They are willing to work around the clock, they just have to be told what to do first.
Sources
Shipping disruption: Why are so many queuing to get to the US?
‘All hands on deck’ at Seattle and Tacoma ports as supply chain bottlenecks persist
Click to expand...
The BBC article is good. Increased shipping, increased consumer demand, decrease in transportation, and inadequate skilled labor at the Ports. That last bit may be code for Union meddling, though.
 
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#47
#47
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#49
#49
AshG said:
I found more information regarding the situation long-term, and it does include union action as a mitigating factor.

https://www.cato.org/commentary/americas-ports-problem-decades-making

Not a single US port is in the top 50 in the world in terms of efficiency. The closest is Philadelphia at 83rd.
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the BBC article referenced a 5% window of increase available at the long beach ports. If American ports are running at 95% capacity but not in the top 50 worldwide, there is a fundamental problem in play.
 
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