Oil falls to lowest level in four years: $40 a barrel

[reality_hammer]

Supply and demand are harsh mistresses.

Comments

[schpydurx]

I get supply and demand, but unlike half of the country, I have to work for a living and have had my head in the sand. I know that traditionally less oil is used in the winter. (This never made sense to me because in my mind it takes more energy to heat our houses then our cars, but cars are plentiful and keep running out of fuel)

Are you arguing that demand has backed off so much because we are in winter that the price of oil has dropped or has there been things happening in the real world that as a hard-working American I've not been made privy to because I don't have time to watch soap operas AP Obama?

Put another way, how are you saying that demand has decreased?

[reality_hammer]

Worldwide recession.

It was the worldwide expansion (especially in places like China and India, which were not tremendous consumers of oil prior to the recent expansion) that (mostly) caused the run up in prices.

Just as the Asian economic troubles in the 1990s helped keep oil prices artificially low during that decade.

[schpydurx]

And since our economy is off, their economy is off as we don't need those cheap Made in China goods, so in turn they aren't demanding as much oil...

[tonichelle]

there goes my PFD in a couple years. *sobs*

[reality_hammer]

It could be worse, the state could have invested it in stocks...oh...I see. :/

[tonichelle]

LOL! That's what the PFD is! all based on the stock market! lol