Archives: Crudely Speaking

Before 2021, US drivers will pay $10 per gallon for gasoline or $0.50 per gallon for E85 (an 85:15 ethanol/gasoline blend). Before 2021, diesel prices in Europe will hit €2.50 per liter if the euro/dollar exchange rate and taxes stay steady. Before the decade closes, US consumers will also pay less than $2 per gallon for gasoline as their European counterparts pay under €1 per liter, assuming no tax or exchange rate changes. Learn more.

The Keystone Pipeline Will Not Increase US Energy Security: The proposed Keystone XL pipeline expansion, which would move oil from the Canadian tar sands to the US Gulf, has been defended on the basis of energy security. Proponents assert the increased oil supply from Canada will displace less secure imports from other foreign sources. This claim is incorrect. The Keystone project will likely decrease US energy security. Learn more.

Strengthening Sanctions on Iran with Strategic Reserves -- The United States today holds almost 300 million barrels of excess oil in its Strategic Petroleum Reserve. In his paper on this issue, Dr. Verleger suggests these surplus barrels should be sold to supplement efforts to reduce Iran’s crude export sales. This will help tighten sanctions on Iran and ease concerns of countries that must replace their Iranian crude imports. Learn more.

Decline in US Gasoline Consumption Accelerates -- The February 2012 Bureau of Economic Analysis data on consumer spending indicated that the decline in US gasoline use is quickening. Real purchases fell six percent from year-earlier levels. Learn more.