
Originally Posted by
Seran
So, to recap, cost push inflation is a type of inflation which may decrease profits or be used to increase prices of consumers at the risk of demand destruction. Big Oil meanwhile hasn't seen a substantial increase in costs as again, their average publicly disclosed expense for well maintenance is $35 per barrel. Supply is constrained domestically by the active choice of Big Oil not to reinvest massive profits into capital expenditures and as a result of the API coordinated idling of production in 2020 to support market prices. Yes we've lost a fraction of imported oil (700,000) from our Russian embargo, but that doesn't justify the current illegal profiteering.