Dems Want to End Oil Company Subsidies. Another Fight Over Chump Change
May 11, 2011
Posted by on
Oil companies, aka “Big Oil,” have been a constant target of the Left for as long as I can remember. Oil companies don’t control the price of oil, and only make a couple of pennies off the sale of gas, but one would never know that from listening to the constant berating they receive. Since most of us drive to get from A to B, we have to buy gas. When oil prices go up, so do gas prices. When this happens, SOMEBODY has to be the boogeyman. Why not those mean, nasty Big Oil companies? Any report of high profits must be attacked–in spite of the fact that the profit margins of the same oil companies tend to stay the same. Not only that, but they don’t even rank in the top 10 in terms of profit margins, yet companies with far greater margins don’t get nearly the attention. Its as though cheap gas is some type of right, not just a commodity.
Recent world events have sent the price of oil to major highs. Subsequently, some of the larger oil companies had record profits to report. Right on time, members of the Left were quick to start yelling about record profits, as well as government subsidies that oil companies receive.
Just to be clear (thank you, Pres. Obama. I love that phrase!), in a time of high deficits, I’m in favor of major cuts in corporate subsidies. We shouldn’t be borrowing money to fund ethanol (proven to be a waste of time), fund farms, ect. If there is an argument to be made, argue for getting rid of all of them.
But that is not the argument being made. Democrats in Congress are rallying to end corporate subsidies for the major oil companies. They basically say the companies don’t need it, and the money can be used to lower the deficit. I want to say amen but I find myself laughing at this. Why? Because just like with the budget negotiations, we have politicians making a huge deal over a relatively small amount of money. The projected savings from ending just those subsidies is $21 billion over 10 years. Yes, my fellow Americans, with trillion dollar deficits projected over that same time period, Democrats are yelling about what amounts to an average of $2.1 billion per year.
Is it a lot of money? To us, yes. As part of a multi-trillion dollar budget? No. This is nothing but a political ploy. A game. An attempt to lash out at those mean nasty oil companies. Someone let me know when the games end and folks get serious.