Windfall Profits Tax on Oil Companies???

[bluffmanxx]

Democratic presidential candidate Barack Obama said on Monday he would impose a windfall profits tax on U.S. oil companies as he sought political gain from Americans' pain over high gasoline prices.

"I'll make oil companies like Exxon pay a tax on their windfall profits, and we'll use the money to help families pay for their skyrocketing energy costs and other bills," the Illinois senator said.

um....there are so many problems with this logic that i don't know where to start. first of all, i'd like to point out that the government already makes more from each gallon of gas sold than do the oil companies...and it looks like obama wants an even bigger piece of the pie, despite the fact that the government does not find, recover, transport, refine or sell the oil. sounds like simple income redistribution to me.

this term "windfall profits" has become another buzzword despite the fact that a majority of americans probably couldn't tell you the first thing about "windfall profits". once again we run up against the economic ignorance of the american people, most of whom couldn't tell you the difference between a profit and a profit margin if their flat-screen TVs depended on it. the profit margins – the amount of money they earn for a dollar of sales – have actually declined a bit.

hopefully most americans have enough economic smarts to know that the profits from these oil companies belong to the shareholders. the data show that ownership of shares is broadly middle class, with the majority of industry shares held by institutional investors, often on behalf of millions of americans through mutual funds, pension funds and individual retirement accounts. so ... when Barack Obama talks about a windfall profits tax, just who's money is he going to seize? he's talking about taking the savings, investments and retirement funds of middle class americans.

[LadyWrestler]

Exactly right, Doug!

A company that is designed to find, bring up, refine, distribute, and sell oil products cannot make a windfall profit because the price of oil goes up. Does Obama own a dictionary? Does he have internet access?

Geesh!

[spaceboy761]

I will say although I agree with Obama on social issues, he is next to clueless economically. This wouldn't even reach the top 5 on the list of dumbest things I've heard him say.

[TheMark]

the biggest problem was face, is most of the American People are being crushed by the price of gas right now. We are all pissed off and want someone to blame, and yes the big oil is making a killing, record profits. Lets take Exxon for example. This company had been around for years. Now they have profits they havent planned for, or even dreamed of. This is a private owned, not goverment owned. I will bet my last dollar most of the profits will go into expanded oil explor. updated equipment, ect.

Now we got a call for an Added tax to the Winfall profits. Oil will go down, once so will the Tax be lifted. nope, once a tax, always a tax

[Prince]

Obama Gaffe 1Obama Gaffe 2

[hustler730]

Anyone else have an idea to lower the prices?

Its an idea. Let it run.

Republicans sure helped out alot, nice most of them invest in oil. Cant wait til a democrat takes office.

[Prince]

Originally Posted by hustler730

Anyone else have an idea to lower the prices?

Its an idea. Let it run.

Republicans sure helped out alot, nice most of them invest in oil. Cant wait til a democrat takes office.

Tim, I am a union member. The international backs Dems all they way, even to the point where they backed Marion Berry after he was busted for smoking crack. Now they say they are against big oil but our pension fund invest in oil.

Something I found that I liked.

Who else hates big oil?

1. Not our soldiers and government employees-- the Thrift Saving Plan has considerable investments in Big Oil and the profits benefit their retirement.

2. Not teachers-- The National Education Association, largest teacher's union, has considerable investments in Big Oil and the profits benefit their retirement.

3. Not Firefighters-- The International Association of Firefighters has considerable investments in Big Oil and the profits benefit their retirement.

4. Not Law Enforcement-- National Union of Police and Prison Officers has considerable investments in Big Oil and the profits benefit their retirement.

5. Not Blue Collar Workers-- The AFL-CIO, the world's largest labor union, has considerable investments in Big Oil and the profits benefit their retirement.


So who is it that is complaining about Big Oil making profits? Oh, it's politicians that aren't getting their "fair share".

[hustler730]

All im saying is that Republican George Bush hasnt dont shit to lower or get lower the prices of fuel. Ok yeah he gave us more money...To spend on gas. (Stimulus)

[ColdCase]

I would try to not be so cynical of the young man and
see if he doesn't make a wee bit of sense.

How much worse can he do then Dubya!!

[bluffmanxx]

Thanks Craig, sometimes I wonder if anyone actually reads past the title of a thread.

Another note...corporations don't pay taxes...they just pass them along to you and I.

Timmy, do you really think higher taxes will lower the price of oil?? Do you even understand the dynamics of why oil prices have shot up??

And yes, I have lots of ideas on how to lower prices...drilling in the U.S. would help short term, building nuclear power plants and developing alternative energy sources would help in the long run.