From EIA, and BEA NIPA:
Source: EIA via Forbes.
Per WSJ, we’re pumping so much that parts of Texas are buckling and swelling.
And here’s the US net exports of petroleum goods (in $) from NIPA.
Figure 1: US Net exports of petroleum goods, in bn. $, SAAR (blue, left scale), and as share of US GDP (tan, right scale). NBER defined peak-to-trough recession dates shaded gray. Source: BEA, 2024Q1 advance release, NBER, and author’s calculations.
On an economics note, increased production of petroleum products does not necessarily change the impact on inflation of an oil price shock (consumption per unit of GDP, central bank credibility might have a bigger role). However, as the US becomes a bigger and bigger exporter of petroleum products, an oil price increase becomes less and less a negative terms of trade shock. In addition, in terms of aggregate demand, oil price increases are going to be less of a negative.
Damn that WSJ paywall is an SOB. I can catch it later but I gotta wait maybe 9 hours, and Uncle Moses will probably be sleeping then.
This Rapier guy sounds like he knows what he’s talking about. Almost like you’d want to query him about the oil industry/trade rather than some consultant. But he needs to improve in the blowhard dept. Maybe make-up stories about high-profile people that hang on his every column*.
*Econbrowser regular readers’ inside joke, This is where I turn to the blonde news anchor left of me and chuckle in exaggerated fashion “Aahaahaahaaahaaaah!!!!!, and now the weather….. Cindy….. “
The WSJ Permian Basin Oil story is on Page “B1” of the Business and Finance section of the hardcopy WSJ. That’s one of the things I love about WSJ. I been reading it off-and-on since about 1984 and they still have roughly the same format/layout. That’s a nice convenience and mentally comforting to a creepy uncle like me.
EIA Confirms Historic U.S. Oil Production Record – the Forbes headline.
Huh – we have had literally thousands of Bruce Hall comments trying to claim Biden has undermined US oil production. Could it be little Brucie is a liar? What do we tell the children?
Tell the children to hold their little hands over their little ears.
I was surprised to see China being the 6’th biggest producer.
China also has 4 times the population of the US so its consumption of oil is off the wall.
Wikipedia says China consumes almost as much oil as its production and US production combined. So yea – China is a big net importer of oil.
I am not surprise China is consuming huge amounts of oil, given population size and their emphasis on becoming the producers of everything. But the fact that they already are producing about 25% of the oil they need, is a bit surprising.
Right now Xi cannot afford to attack Taiwan because an oil blockade would shut his country down. Their massive expansion into alternative energy is meant to reduce that vulnerability – as is the build up of (energy) ties with Russia. Biden has been building up our ability to handle a shut down of trade with China – we better not get the Orange idiot into the White House if we want to be on top of that.
Funny.
Never mind the kids. If Bruce-ie Baby finds out a Democrat White House is presiding over a higher production of U.S. oil than a Dick Cheney managed White House Bruce-ie won’t even be able to enjoy a bowl of his favorite flavor of ice cream anymore.
“In a desolate stretch of desert spanning West Texas and New Mexico, drillers are pumping more crude than Kuwait. The oil production is so frenzied that huge swaths of land are literally sinking and heaving.”
Hey fellows – maybe you want to slow down a bit.