First, when gas went up to $4+ a barrel, the news targeted XOM for being a GIANT OIL company, and made it look like they were the reason for the price. This is completely wrong! The market is the reason for the price. If you have graduated high school, you've taken basic economics. SUPPLY vs DEMAND. Its simple, the more demand, the less supply, the higher the price.
Side note: Our country was not in a recession when gas prices were at this level.
Obviously a market cannot continue to go up, there is a model called a business cycle, basically what goes up must come down before it can go up again. With that being said, the price of a barrel of oil went from $160 to $45 in just a few short months. That's so ridiculous and unheard of. But did XOM ask for a bailout??? Did XOM layoff thousands of people??? NO, because XOM does not base business decisions on the market. All projects ROI is stated with oil at $26 a barrel. Therefore when it is MORE XOM makes MORE, but when it trades at a lower value than anticipated ($50) XOM is still making money.
It is amazing how ignorant many business models are, yet a conservative model that has proved success for over 125 years is hated because it works. It just does not make much sense to me. Also, if you look at the price of gas now, its $1.59 or so, but we as Americans are also in a recession. You can draw your own conclusions.
By the way, we are still hiring, that's right, no hire freeze, or layoffs. Just business as usual. Its so sad how uninformed the media makes us.
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