PDA

View Full Version : Americans are subsidizing Europe's gasoline



CShine
9/1/2006, 04:41 AM
U.S. drivers helped to boost Big Oil's record profits more than their European counterparts, by paying more for gasoline once taxes were taken out at the pump, according to a report released on Thursday. The report from the Foundation for Taxpayer and Consumer Rights also showed that profit margins were much larger for multinational oil companies' refinery operations in the United States than those located in Europe.

While gasoline costs more than $5 a gallon in Europe, most of that pump price reflects taxes. In the United States, federal and state fuel taxes account for a much smaller share of the cost for gasoline. Based on retail gasoline prices in July, when taxes were taken out European drivers paid 24 cents a gallon less to fill up than their Americans, the study showed.

"Thus U.S. motorists are essentially subsidizing European drivers, who pay more for taxes but substantially less into oil company profits," the report said.



http://today.reuters.com/news/articleinvesting.aspx?view=CN&storyID=2006-08-31T200914Z_01_N31221683_RTRIDST_0_ENERGY-GASOLINE-PRICES.XML&rpc=66&type=qcna

Okla-homey
9/1/2006, 05:35 AM
This is prolly mostly due to the fact we own a lot of land yachts (suburbans, tahoes, escalades, expeditions, navigators, etc) and thus we must buy a lot more gas per capita than they do. Thus, demand is higher = price higher (that's capitalism and stuff.)

royalfan5
9/1/2006, 07:55 AM
This is prolly mostly due to the fact we own a lot of land yachts (suburbans, tahoes, escalades, expeditions, navigators, etc) and thus we must buy a lot more gas per capita than they do. Thus, demand is higher = price higher (that's capitalism and stuff.)
The Europeans also use a lot more diesel motors per capita which helps their effiency.

mdklatt
9/1/2006, 09:26 AM
We're subsidizing their (Candada too) prescription drugs as well because we don't have price controls like they do.

Tulsa_Fireman
9/1/2006, 09:29 AM
You know, the Nazis had price controls that they made the Jews wear.

picasso
9/1/2006, 09:49 AM
We're subsidizing their (Candada too) prescription drugs as well because we don't have price controls like they do.
they're also importing doctors.

I love how people use the term "big oil." well let me tell you folks, "little oil" ain't doing too badly either.:D

StoopTroup
9/1/2006, 10:05 AM
I'm going to go fill up my 30 gallon tank today and have the Oil Changed (7 qts).


Wonder if I can pay in euros?

OklahomaTuba
9/1/2006, 10:06 AM
You know, the Nazis had price controls that they made the Jews wear.
Those Bastages!

GDC
9/1/2006, 03:08 PM
THe Europeans are subsidzing their rail system, which kicks ***.

Vaevictis
9/1/2006, 03:11 PM
We're subsidizing their (Candada too) prescription drugs as well because we don't have price controls like they do.

(nevermind the fact that the primary reason drug prices even reach the level of those same price controls is due to a government granted monopoly ;) )

jeremy885
9/1/2006, 03:20 PM
Isn't oil priced internationally in $ not euros?

The dollar has taken a nose dive against the euro (was $1 to .85 euros in dec 05, now its $1 to .78 euros).

Just given that fact, it seems natural that they would pay less then us.

GrapevineSooner
9/1/2006, 03:52 PM
Big oil's profit margin is still 8%.

OklahomaTuba
9/1/2006, 03:58 PM
One reason this article is BS is it doesn't account for the state by state differences in blending of additives.

Also, refining costs for Europe are much higher, making this report pretty much bull****.

OklahomaTuba
9/1/2006, 04:00 PM
Isn't oil priced internationally in $ not euros?

The dollar has taken a nose dive against the euro (was $1 to .85 euros in dec 05, now its $1 to .78 euros).

Just given that fact, it seems natural that they would pay less then us.

Funny, Reuters leaves out some key facts.

Looks like they just reported what amounts to a press release from this group with an agenda, which no doubt happens to match Al-Reuters agenda.

Maybe they will replace this story once someone figures out its BS, like they did with the photoshopped pics a few weeks ago.