Unless government forces OIL COMPANY'S to drill more oil why would they drill more oil?

They already have record profits and a supply to bleed us dry!!!!Unless government forces OIL COMPANY'S to drill more oil why would they drill more oil?
Personally I don't think the Government can force anyone to drill for oil, they can however open more areas for drilling if oil companies choose to drill.





But that is just my opinion.Unless government forces OIL COMPANY'S to drill more oil why would they drill more oil?
Other oil companies would form and be in competition with the current. The result would be lower prices. The more competition on the market, the lower prices will go.





Multi-million dollar investors would get together and start their own oil companies. Remember, this still is a capitalistic society.





The oil companies of today are not the only ones allowed. Other companies can be started.
Because they are in the business of making money. They are not in the business of sitting on profits. They have shareholders who expect record profits every quarter. The more they drill and bring to market the more money they make. Same premise as Walmart, sell more for less and make more money!
The profit motive. If it were a complete monopoly they might not choose to, instead choosing to withhold the oil and drive up the price (like OPEC does, particularly in the 70's). But since these are competitive firms, selling a bunch more oil means more money for them, even if the price per barrel drops slightly.
The oil and gas companies earn about 8% on their sales - the more sales, the more money they make.


Pretty simple actually - and their own domestic oil is cheaper for them than importing foreign oil for refining.
There are no conspiracies here Dino. Just corporations trying to make profit the best way they can. Their shareholders will be upset if they pass up good opportunities.
They make windfall profits on domestic oil, silly.
They will produce until marginal cost = marginal revenue, which it doesn't yet.
MMM I bet their extra supply is stolen from iraq.
Easy: to make even more money.
Um, to make more money..
if there was gold in your yard, I dont think the gov't would have to make you dig it up