May

25

The ‘Big Oil’ Blame Game

Filed Under General, National Politics

Oil derricks in Kilgore, TexasThe Democrat controlled Congress recently began holding hearings into the seemingly obscene profits of the five major “big oil” companies Exxon Mobil, ConocoPhillips, Chevron, Shell Oil, and BP America. However, the hearings not about elected officials protecting America, but are about politicians trying to protect their power; it’s about politics and nothing more. While the Democratic Party accuses President Bush of lying to America, they use the gas prices to deceive the voters, lying to us so that they can win an election.

The solution advocated by the Democratic Party is to “punish” the oil companies for their greed. In a truly Democratic Party way of doing things, they want to slap on an “excessive profits” tax. That means that the ill-gotten profits will be taxed at a greater rate than other profits. So the Democrats’ method of punishing the oil companies is to force them to share the excessive profits with Congress. Higher taxes: now that is a typical Democratic solution to a problem!

A business exists to make a profit; the larger the profit, the better for the company. When a business experiences higher taxes, the normal reaction is to simply pass the higher cost on to the consumer—that’s you and me—so that the company can maintain its profits. This applies to “big oil” as well. In order for big oil to overcome this new tax, we will pay more for fuel. This way, the oil companies keep their outrageous profits while the Democrat controlled Congress gets their profit . . . a profit that they have invested nothing to earn.
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