Cheap oil

[tstep]

OPEC don't give a shit if it falls to 40. They would love that. They are doing it to see if the U.S. can survive.

[cottonpicken]

There could also be something happening behind the scenes we dont know about,a lehman type event.

[foragefarmer]

tstep

Opec is doing to see if Russia can survive, not he USA. Putin thinks he's unstoppable. The Russian economy and ruble are crashing, sanctions will work.

[Rareearth]

Saudi and USA have a deal. The Usa protects the Saudi family and from being run over by Iran, Iraq types. The USA will buy oil from Saudi and pay them in usa dollars, this is what all opec countries do (Saudi led this move). This is how the usa petro dollar started in the 70's

Today Russia wants to get rid of the Usa dollar standard, they are the worlds power house in oil, control and influence.

Today every one is moving to natural gas, pipelines and liquified. As well the USA doesn't need as much oil it's developing more of its own with technology, as other countries are. All this means lower oil demand.

I think the USA is guiding Saudi ( opec) to maintain production, protecting their market share, and to hurt Russia financially, ( they like high priced oil as they are exporte This also boosts USA domestic economy, keeps money at home, and delays in the near term pressure on the USA buck

[mcdon]

Today Denmark makes claim on North Pole...a little late given $56 oil...Now that is funny.

[Oliver88]

One reason for that is Norway doesn't have to send equalization payments to Quebec.

You are likely right though that bacon can be trimmed in the Alberta public sector and government......and all across Canada for that matter.

[farmaholic]

Geez BTO, Albertha has just about as much cash as you have. You should spend some of it before all those paper "C" notes no longer get accepted and only that plastic monies is taken.

[tweety]

Oliver, the biggest reason is Norway doesn't give their oil away like Alberta does.

[mustardman]

It's not trimming the public sector that will make the difference... Alberta and Sask as well Need to get a Royalty structure that benefits the provinces Not like the complete GiVE away system that we have today.
Yes most countries with our resources would have the coffers full and any expenditures needed, hiways ,hospital ,schools etc could easily be paid for unlike now

[checking]

So right mustardman.

We give our resources away to create a few more job opportunities. This increased population caused by a few more jobs doesn't even provide enough new taxes to pay for the overwhelming new infrastructure necessary to accommodate the new arrival, even in boom times/uncontrolled growth.

Now comes the down turn. The jobs vanish over night. The arrivals depart the following morning, and the remainder, before this nonsense started, are left to pay off the built up infrastructure. But hey, that is what the Alberta/Saskatchewan governments/you people wanted by providing royalty free periods, and taking precious little resource revenue.