The price of oil has fallen to just $34.93 per barrel today. That’s a decrease of 7.39 percent in one day of trading. It’s a decrease of $7.57 in the less-than-one-month since Barack Obama became President of the United States.
Why has the price of oil fallen this far so fast? It’s not because of increased drilling for oil. It’s not because of increased oil refining capacity.
Big Oil corporations and the politicians that do their bidding have said that increased oil drilling and oil refining capacity are necessary for a reduction in the price of oil. Nonetheless, here we are with a significant, rapid decrease in the price of oil without those conditions. How has it happened?
It’s simple. There’s been energy conservation by Americans, and it’s expected that there will be even more conservation in the coming months. First, Americans reduced their consumption of fossil fuel products because the prices were too high. Then, Americans began to conserve energy in order to try to save money, because of general economic troubles.
We Americans had it in our power all along to reduce energy costs. We only needed to stop using so much of it.
Conservation works. Additional oil drilling and fuel production isn’t necessary. Remember this simple economic lesson the next time that the big oil companies have politicians running higgledy-piggledy over some simple-minded slogan such as drill baby drill.