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Huffington post at http://www.huffingtonpost.com/raymond-j-learsy/exxon-rakes-in-record-11_b_84756.html BIO Become a Fan Get Email Alerts Similar Bloggers Posted February
4, 2008 | 06:26 AM (EST) Virtually the same day that Exxon
announced their gangbuster record earnings of $11.66 billion the New York Times ("Exxon sets profit record..." 2/2/08) reported that the Organization of Petroleum Exporting Countries (OPEC), having held production
levels fast this month, signaled it would be ready to cut production when it meets next month to make up for a seasonal slowdown.
"OPEC's actions mean the cartel is determined to keep prices from falling below $80." Clearly OPEC is Exxon's
greatest ally. It has been OPEC's collusionary cuts in oil production that permitted the price of oil to skyrocket. According
to a newly awakened New York Times
"from a low of around $50 barrel in early 2007 to near $100 barrel by the end of the year -- the biggest jump in oil prices
in any one year" (in case you are counting, that $50/bbl difference annualized represents a transfer of wealth from American
consumer pocketbooks to oil interests of some $350 billion, or the combined
annual budgets for the Army, Air Force, Navy and Marine Corps).
The Times finally and for
the first time, is laying out the full dimension of the OPEC orchestrated increases, calling it the way it is as this post
has done since inception. Without the OPEC cartel rigging
the market Exxon's windfall would not have been possible. President Bush and our Energy Secretary Bodman during their recent
visit to Saudi Arabia, the putative leader of the OPEC cartel, pleaded with the Saudis to have their cabal increase production
levels. Their pleadings were humiliatingly dismissed out of hand. Certainly Exxon must be cheering in the wings and lobbying
to have the president continue his inane threat to veto any legislation that would remove the national sovereignty exemption
that makes it impossible to sue OPEC and its national oil companies, such as the Saudi oil entity Aramco, in American courts
for restraint of trade and collusion among oil producers. It is the kind of legal action that would be forcefully pursued
by our Justice Department against any commercial entity/entities that acted in a manner comparable to that of OPEC and its
national oil companies. But that's a long and disheartening story (Please see "Oil: A Defining Moment for Our Political Class and the Press," 07/09/07) The Exxon earnings are not only
obscene they are an outrage in that these are not profits that are earned in a competitive marketplace but simply by tailgating
OPEC's manipulation. Exxon barely lifted a finger to earn its additional billions other than go along with prices that were
the result of collusion by a cartel, and hardly a reflection of a free and unfettered international marketplace. The oil industry
apologists are already lining up. To quote one of the spokesmen for the chief peak oil prankster, and cheerleader for ever
higher oil prices, Matt Simmons, "A lot of these larger companies are challenged to grow production. That's one of the reasons
that oil prices aren't necessarily expensive at $90 a barrel..." Much like Willy Sutton saying he has to hold up another bank
because he needs a new getaway car. At least one candidate was moved
to opine on Exxon's earnings. Barack Obama said Exxon's profits were a sign that the U.S. economy is "out of balance". With
that observation he will have in all probability kissed the moneyed oil lobbying kitty goodbye. With distortions such as these
lifted from the pocketbooks of all Americans, where are the tough questions and answers asked of the candidates as to how
we as a nation are truly going to come to grips with this issue before we transfer all our wealth to the oil companies and
our good friends in Saudi Arabia? (For some questions that might be considered please see "In 2008: A Few Questions On Energy For The Candidate," 12.31.07). For the most complete analysis of the war and the role of neoconservatism and oil BEST DEMOCRACRY OIL CARTEL CAN BUY--and a tax break for buying an SUV.
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