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SassyLady
12-09-2010, 05:47 PM
Why not do this instead of raising taxes?


A trillion-dollar missed opportunity – enough to pay U.S. deficit

December 6, 2010 | Posted by Ken Cohen

On the heels of the Administration’s recent decision to place a de facto moratorium on offshore drilling in the eastern Gulf of Mexico and the Atlantic, we asked readers of today’s Wall Street Journal if they knew how much that decision might cost in terms of lost government revenue.

According to a study by ICF International, expanding domestic energy development in America’s offshore areas could alone generate $1.3 trillion in government revenues over the life of the resource – along with major increases in jobs and economic activity that result from offshore development.

To put this figure in perspective, consider the following numbers:

In 2010, the U.S. federal budget deficit was $1.3 trillion.

The total U.S. national debt currently stands at about $13.8 trillion.

The U.S. oil and natural gas industry contributes more than $1 trillion a year to the U.S. economy.

As I indicated in my commentary on Wednesday about the moratorium, this decision is a real missed opportunity to spur economic growth, create more jobs and strengthen U.S. energy security. You can read more in last week’s post: DOI’s offshore plan: a missed economic opportunity that also weakens U.S. energy security.

http://www.exxonmobilperspectives.com/2010/12/06/a-trillion-dollar-missed-opportunity-enough-to-pay-u-s-deficit/

NightTrain
12-09-2010, 05:55 PM
Why not do this instead of raising taxes?

Because of the liberals blocking it. Lawsuits galore spring up every time there is a proposed development of natural resources by greenies on their holy crusade.

Here in Alaska, there are countless projects that are challenged in congress or in courts by the enviro-wackos every time they are proposed.

Frankly, I am amazed that the Trans-Alaska Pipleline ever got approved. I seriously doubt that it would be built in today's America.

PostmodernProphet
12-09-2010, 06:29 PM
Frankly, I am amazed that the Trans-Alaska Pipleline ever got approved. I seriously doubt that it would be built in today's America.

the reason should be obvious....

The pipeline was built between 1974 and 1977 after the 1973 oil crisis

Pagan
12-09-2010, 07:36 PM
Here's what's sad.

This week at work we had a meeting with out investment house that handles our 401k. Here's what they stated

"IF" tomorrow we stopped all spending and raised everyones tax's to 70% it would still take 50 years to pay down the debt.

The problem is we need the ultrastructure for growth to be able to pay off the debt, it's been and still is going overseas. We export "debt" and the world is getting tired of funding it.

SassyLady
12-09-2010, 08:04 PM
So, then why aren't we telling Congress we want the moratorium lifted so we can get out of debt?

NightTrain
12-09-2010, 08:32 PM
the reason should be obvious....

Oh, I know, PMP.

However, these days I don't think even a crisis like that would push through a project like the Pipeline.

PostmodernProphet
12-10-2010, 09:05 AM
Oh, I know, PMP.

However, these days I don't think even a crisis like that would push through a project like the Pipeline.

agreed....the crisis of 2008 didn't even get them to let us drill for oil on our own land.....

avatar4321
12-15-2010, 07:34 PM
Maybe because politicians want us to be unable to produce our own energy and want us to be seriously in debt?

Only thing that really makes sense.

Little-Acorn
12-15-2010, 07:42 PM
Why not do this instead of raising taxes?

If they did it, Democrats would raise taxes anyway. Until they are booted from power. Then we'd get to see if the Republicans return to their past conservative ways... or fall off the wagon again, as they did in 2000-2006.

BTW, that 2010 deficit of $1.3 trillion, was for one year only. We'll rack up about much again, the following year. And again, and again.

The $1.3 trillion in revenue from added oil production, is over "the life of the resource", meaning the total for all the oil fields drilled, over the next 10, 20, 50 (who knows) years.

SassyLady
12-15-2010, 08:00 PM
If they did it, Democrats would raise taxes anyway. Until they are booted from power. Then we'd get to see if the Republicans return to their past conservative ways... or fall off the wagon again, as they did in 2000-2006.

BTW, that 2010 deficit of $1.3 trillion, was for one year only. We'll rack up about much again, the following year. And again, and again.

The $1.3 trillion in revenue from added oil production, is over "the life of the resource", meaning the total for all the oil fields drilled, over the next 10, 20, 50 (who knows) years.

Oh, I missed that part. Thought it would be an additional $1T/yr.