The Daily Show: The Price Of Oil

icon Download icon Download (h/t Heather)

Jon Stewart and Senior Middle Eastern Correspondent Aasif Mandvi look at the costs behind the startling $104 / barrel of oil. Actually, it closed at $105.97 yesterday.

MANDVI: Well, Jon, it’s true, oil prices have reached an all time high. But before consumers do something drastic, like purchase a hybrid—or as I call them, a mutant—consider the fixed costs that go into producing your typical $104 barrel of oil. Right up front, $5 goes to new development of new oil resources. $10 goes to new technology research. $15 a barrel goes to making those commercials where oil companies try to convince you they’re not raping the environment and $25 goes toward blackening the oil.

STEWART: If I may, just very quickly, right there stop you, I was under the impression that oil comes out black.

MANDVI: That’s what Hollywood would have you believe, Jon. No, oil actually comes out of the ground looking like this. A pretty rainbow! And it burns clean. Cruding it up ain’t cheap.

STEWART: Aasif, so that adds, I guess, $55 a barrel to the oil, what about the rest of the cost?

MANDVI: Well, it fluctuates, depending on how chaotic the political situation is. That’s why the Middle East loves George Bush. Without him, oil prices plummet; Middle Eastern revenue streams dry up and the terrorist are having to work second jobs at Bennigans. Or, the Middle Eastern equivalent: Applebee’s.

I'm a little surprised that Mandvi didn't factor it the requisite astronomical, record-breaking profits that the oil companies are realizing. That's got to be at least $40 out that barrel, right?


Comments

We welcome relevant, respectful comments. Any comments that are sexist or in any other way deemed hateful by our staff will be deleted and constitute grounds for a ban from posting on the site. Please refer to our Terms of Service (revised 3/17/2016) for information on our posting policy.