1. BP to go out of business. That leads to the end of ARCO and BP stations. Shell, Chevron and Conoco charge higher prices in the absence of competition. You pay the price!
2. BP to pay high high cost of clean-up. This leads to a) higher cost of debt and equity capital (financing) for ALL debt-laden oil companies and higher insurance costs. This all leads to less supply at higher costs. This leads to higher wholesale prices. $70/barrel oil goes to $100+, maybe $200+. Who pays for that? And the U.S. economy more than any other in the world is oil dependent. Who do you think loses when you don't get a raise, your business fails, or you become unemployed?
3. BP to be banned from drilling in the Gulf. See item 2. Same effect.
4. BP stock price to go down. See item 2. Same effect.
So am I to believe that a huge number of you here want to 1) pay $4 per gallon prices 2) end up in a homeless shelter, and 3) see your friends and family suffer.
It appears that a fair number of you either don't know the implications (stupidity) or you are masochists.
CAREFUL WHAT YOU WISH FOR. Do you understand what you want?
many people here are shorts; they are screaming the end of the world. Strategically Obama is calmer this time around; he and his crew had some time to ponder of the consequence you mentioned.
I am long simply because this is too large of a company to fail out of this disaster. Second, is the economic and political ties BP has with the US/world. No one is gonna let it sink.
Yep this is exactly what I want. Drastic change doesn't come without people standing up for what's right. We may be in the hurts for a period of time, but like always, we will over come it, and be better, more knowledgeable people for it. DOWN WITH BP and BIG OIL!!!
Down with Big Oil? So you don't drive a car in Portland? So you want to live in South America when there are no teachers, taxi drivers, and no jobs period in our bankrupt economy? That is what you get without oil. And given that it cost huge money to be in the oil business, do you think your Sister is going to decide one day to give up her Costco job to start an oil exploration company? What logic is this?
The New Government Petroleum will sell US oil to Americans at a lower cost b/c they don't have to pay a dividend. BP's liquidation might pay for cleanup costs and reimburse other losses if we're lucky.
The New Government Petroleum will sell cheaper? What government run enterprise has ever sold anything at competitive prices? OK, it has happened. It is called subsidies. Who do you think pays for Gov't subsidies. Hint: The Government does not have its own money.
Your wasting your time with a lot of these people they have their own agenda and everybody else be damned. Like Obama said yesterday: We need a strong BP. That is what caused their credit rating to improve last night because the signal is the US does not want BP to fail. Obama knows that if BP fails there will be a lot of high paying jobs lost. Nobody with half a brain wants to pay $4 a gallon or more on gas. I want gas to back under a $1 like it was not that long ago. Everybody is demoninzing BP. It was an accident nobody in their right mind wanted. Anyway. I hear you.
Agreed. "...their own agenda."
The problem is they are apparently not smart enough to realize that their own agenda is their own demise.
If you say, I hope the Russians nuke my neighbor's house. I hate my neighbor. do you think somehow you escape unfazed by the incident?
Stupid post by a jackass poster.
tell us what you really think.....like you dont want your investment to go down the tbues like it is......i really doubt you care about bp or homeless people or 4 buck gas........as long as you can get some help from your portfolio tanking you will be happy...duh
OK, there is a voice of reason. Your point "lose/lose" is the reality. I don't like this situation. We all got hurt. I am trying to make a point to those who think there is no consequence to institutions pulling money out of BP stock and the stock tanking and possible BK looming. They think "oh I just made $2K on that trade," while they ignore the reality of you are going to pay $2K over and over and over again. That was not free money. BP's failure is our failure. We will pay. That is cold real reality. Obviously you are one of the few who get it.
ndavenport point is very clear and obvious.
BP saving money on poor safety is passed on to consumers with lower prices. If BP is forced to pay more money on safety, then they will rise prices. This hurts Americans and everybody else who uses oil. Food costs rise, gas rises.. If BP fails, Yes, we also have to pay for it. Its a lose/lose for us no matter what we do.
sajbpliu point is also very clear and obvious.
BP screwed up and needs to pay for their poor choices and screw ups, that is how markets work.
In my opinion, you are both correct.
My take on the situation is that as long as BP gets a fair trial, idc what happens from there.
OK I see how you feel. But does your desire to put BP out of business achieve the result?
1. Who owns BP? Management or shareholders? The people receiving pensions will pay, not BP.
2. At most BP is a set of employees, mostly working class people who did the right thing. A few managers did not. They will get other jobs. It is just a job change to them. While many of the employees are unemployed, who will pay the cost of their unemployment?
So how does BP pay anything at all? Anything? I don't get your logic.