07-15-2005, 01:27 PM
reepicheep, you misunderstand how the Economis world works.
Firstly, lowering the price of oil (if it were possible which it most certainly is not) is in EVERY countries interest. There is a point when prices continue to provide wealth for the producers as well as continuing to stimulate the worlds econony.
However, this particular argument is probably pointless for this reason. The worlds oil supplis are running down yet demand for oil is increasing exponentially due to the develepment of China and India among others. The middle east is pumping as much as it can which usually brings down the price of oil. Why is it not working this time? Simple, the world markets have begun to understand that there is a finite quantity. This, more than anything else is probably what led to the invasion (or liberation depending on your politics) of Iraq. Ironically, the unstable governments of the middle east encouraged this sitation to arise. Maintaing oil supplis is MORE important than ANY other policy in world economics. Without energy, the world would have been unable to develop to its present state. Poverty would be much more common than it is now. Think of a world where travel was impossible and let your mind boggle the result!
Thefore, leaving unstable dictorships in charge of oil supplies is a very dangerous thing to do. If Saudi for example were suddenly to become an Islamic fundamentalist state, and cut oil production as a weapon on the 'wicked' west, the world economy (including the middle east) would suffer a massive shock leading to reccessions, unemployment, poverty and starvation.....you name it. Do you think the west would stand by and allow this to happen? No! We would have serious wars between the OPEC countries and the west that would make Iraq look like a minor slap in the face. Imagine too the scenario were Iran to achieve its ambition to become a nuclear power.
For now, global supplies have to be maintained in order to prevent a world war. In the future, countires are going to have to start thinking about alternative energy supplis in order to head of this real danger of worl;d chaos when the oil runs out.
Keeping prices high is not in the middle easts interest either and they know this very well. Although short term profits are much higher, it reduces demand as countries either find new sources of energy or alternatively, they start conseving better.....more efficient cars etc etc.
Anyway, I don't have enough time to continue my rant [img]style_emoticons/default/smile.gif[/img], so I'll leave you to ponder .
Andy