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re: Oil price fall - is that going to hurt the Louisiana State budget?
Posted on 2/12/16 at 1:13 pm to Numberwang
Posted on 2/12/16 at 1:13 pm to Numberwang
quote:
Has it stopped any of the multi-billion dollar refinery projects that the state was counting on?
Not yet and not likely to. Those are being built by humongous corporations to fulfill the long-term needs of a nation, not just La or the Gulf Coast. Of course those companies received huge tax concessions to lure them into building in La rather than elsewhere. For those who don't know, the lack of a strong Federal Energy Policy to offset the loons who run OPEC is what is hurting the O&G industry in North America more than anything else.
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Posted on 2/12/16 at 1:15 pm to BoarEd
quote:+1
Oh, whatever.
They try to tell you that ANY price of oil is a terrible sign for the economy.
When oil goes up it's bad news because that means the price of food will go up too.
When oil goes down it's bad because...why again? O
Oh yeah, because fatcat a-hole types aren't making record profits each quarter for 10 straight fu(king years in a row.
I couldn't care less that the price of oil is tanking. Gas is down to like 1998 levels around here.
Oil prices/gas prices sky rocket and we hear doom and gloom. People give up their Suburban's and gas guzzlers, the auto makers take a beating because folks want hybrids and economy cars. Airlines struggle due to fuel costs. The tourist trade takes a beating because travel costs are out the roof due to gas at +4.00/gallon.
Oil goes down - gas is $1.50/gallon - folks get back to driving big luxury size vehicles - folks start traveling - auto makers get those big truck/SUV's back on the assembly line.
But because oil hits lows not seen in decades the oil tycoons are taking a hit - the production companies and refineries are taking a bath - and people are losing jobs?
frick it - I have 3 gas guzzling automobiles and I'm loving it that I can fill those tanks for less than $100 bucks right now.
This post was edited on 2/12/16 at 1:19 pm
Posted on 2/12/16 at 1:19 pm to johnzorback
quote:
Not to mention all the money going to keep the Mississippi river from changing course.
You do realize that if the Mississippi river did change course that the US national economy would take a trillion dollar hit? It is in all of our interest that we spend money to maintain the current Mississippi course.
Posted on 2/12/16 at 1:22 pm to RT1941
quote:
Oh, whatever.
They try to tell you that ANY price of oil is a terrible sign for the economy.
When oil goes up it's bad news because that means the price of food will go up too.
When oil goes down it's bad because...why again? O
Oh yeah, because fatcat a-hole types aren't making record profits each quarter for 10 straight fu(king years in a row.
I couldn't care less that the price of oil is tanking. Gas is down to like 1998 levels around here.
+1
Oil prices/gas prices sky rocket and we hear doom and gloom. People give up their Suburban's and gas guzzlers, the auto makers take a beating because folks want hybrids and economy cars. Airlines struggle due to fuel costs. The tourist trade takes a beating because travel costs are out the roof due to gas at +4.00/gallon.
Oil goes down - gas is $1.50/gallon - folks get back to driving big luxury size vehicles - folks start traveling - auto makers get those big truck/SUV's back on the assembly line.
But because oil hits lows not seen in decades the oil tycoons are taking a hit - the production companies and refineries are taking a bath - and people are losing jobs?
frick it - I have 3 gas guzzling automobiles and I'm loving it that I can fill those tanks for less than $100 bucks right now.
If oil gets any worse over half of our domestic production could be lost and guess what happens after that? OPEC will regain market share and then restrict supply to shoot the price right back up to $100+ a barrel and the US will once again be heavily reliant on foreign oil. You do not want oil to stay this low for too long.
Posted on 2/12/16 at 1:42 pm to lsufball19
quote:
yeah it's cool filling up for cheap but generally when gas prices plummet like they have it's a terrible sign for the country's economy. Louisiana won't be alone in this if things continue.
It's generally not terrible for the entire US economy. Historically it's never been bad. It's a plus. A nation wide recession has never been triggered by falling oil prices. Rising prices have however, triggered global recessions in the past. The last four major ones in fact. Falling prices hurt the oil producing states(as a petroleum engineer I can attest to this), but the overall economy is boosted. Why? Even though we've drastically increased production, as a whole the US is an oil importer, and oil importers always benefit from falling prices. However. Because the US economy has been buoyed by oil production recently, and the banks/private equity are soooo leveraged in to operators/service companies, China's growth is stalling... Which might mean deflation could trigger in to the global economy. The Federal Reserve can't even lower interest rates to combat a recession, so the effects will only be magnified.
Posted on 2/12/16 at 1:45 pm to LSU2a
quote:
If oil gets any worse over half of our domestic production could be lost and guess what happens after that? OPEC will regain market share and then restrict supply to shoot the price right back up to $100+ a barrel and the US will once again be heavily reliant on foreign oil. You do not want oil to stay this low for too long.
Meh. That will happen to some extent, but so many wells are being choked off, or they have been drilled but are just waiting to be fraced. If oil hits $100/bbl over night US production would come back rather quickly.
Posted on 2/12/16 at 2:10 pm to LSU2a
quote:
You do realize that if the Mississippi river did change course that the US national economy would take a trillion dollar hit? It is in all of our interest that we spend money to maintain the current Mississippi course.
You mean when it changes course. Yea it'll take a hit for a year or 2. It's not going away though. The atchafalaya river will become the new Port river. It's not like the Mississippi river will stop flowing
New Orleans and towns near the atchafalaya river will be screwed though.
Eta also why it was stupid to base state and county boundaries on moving rivers.
This post was edited on 2/12/16 at 2:12 pm
Posted on 2/12/16 at 2:19 pm to PygmalionEffect
quote:
They also added 33,000,000 square feet of retail space in 2015.
They are also shutting down many stores including one they had only been open for about 10 months (neighborhood market in Clinton LA)
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