OPEC Cuts Oil Production

http://washingtonindependent.com/14718/opec-cuts-oil-production

OPEC Cuts Oil Production
By Suemedha Sood 10/24/08 11:00 AM

Since oil prices plummeted to below $70 a barrel, the Organization of Petroleum Exporting Countries has been talking about cutting oil production to respond to a demand that just keeps dropping. Today, OPEC is doing it. It announced a plan to cut oil output by 1.5 million barrels.

With the global economy in shambles, oil demand and consumption continues to fall. It’s been on the decline since January 2008 and sharp spikes in oil prices this summer — up to $147 a barrel — certainly didn’t help.

One of the uncertain parts of this equation is the variable of what consumers will do next. How will businesses and individuals respond to oil as low as $63 a barrel and gas prices as low as $2.82?

I’ll have some of these answers in a piece later today.

I don't recall them saying that when it was on the way UP...
:shrug:

Any attempt to lower our cost of oil by drilling in the US would easily be countered by a drop in production by OPEC. The cost would remain the same and we would deplete what little we have in no time.

That oil they want to "Drill, Drill, Drill" for doesn't have to be sold in the US, and as you say, they can just ease up on production or store it to keep the price inflated.

Supply was NEVER the problem. Greed WAS and IS.