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FloggingSully · 05-13-2008, 12:30 PM

"It doesnt take a rocket scientist to know that we need to drill in ANWR and offshore."

-Do the math TW, we can get (at most) 1 million gallons/day from ANWR, the US uses 20 million per day, if the US makes up half the demand for oil worldwide then worldwide demand would be 40 million barrels/day (40 is a conservative estimate, someone quoted 80-something in another thread). So drilling in ANWR could increase world supply by at most 2.5%, since oil is has inelastic demand the price decrease from a 2.5% increase in supply would be less than 2.5%. 2.5% of 4 dollars/gallon is 10 cents, in other words, drilling in ANWR would result in a less (probably much less) than 10 cent decrease in the price of gas.

05-13-2008, 12:30 PM	#39 (permalink)
FloggingSully AA Join Date: Apr 2007 Location: Maryland Posts: 732 Tournaments Joined: 0 Tournament Wins: 0	Re: Only the rich will drive everyday "It doesnt take a rocket scientist to know that we need to drill in ANWR and offshore." -Do the math TW, we can get (at most) 1 million gallons/day from ANWR, the US uses 20 million per day, if the US makes up half the demand for oil worldwide then worldwide demand would be 40 million barrels/day (40 is a conservative estimate, someone quoted 80-something in another thread). So drilling in ANWR could increase world supply by at most 2.5%, since oil is has inelastic demand the price decrease from a 2.5% increase in supply would be less than 2.5%. 2.5% of 4 dollars/gallon is 10 cents, in other words, drilling in ANWR would result in a less (probably much less) than 10 cent decrease in the price of gas. __________________ There's no such thing as a pretty good aligator wrestler.