Because when you charge 20% on something and the value of that thing doubles you make double the amount too.
I think the UK government is way too cosy with big oil and is scared of asking for more
It makes the already-wealthy owners of the extraction license wealthier and nothing more than that you [edit personal insult removed because I didn’t realize this wasn’t Hexbear, disculpe]
The increased supply will reduce the global price which makes oil products cheaper to UK consumers.
Sorry buddy but the price of energy in the UK is no longer correlated with supply and demand and hasn't been for at least two years now.
Obviously it is. When oil prices are high, do petrol prices go down?
A better question is, if the underlying cost of providing energy has increased, why are fossil fuel companies reporting record high profits.
Because when you charge 20% on something and the value of that thing doubles you make double the amount too. I think the UK government is way too cosy with big oil and is scared of asking for more
Think about what you just said for a second.
If the price doubles and the profit margin remains the same, that exactly means that the price is inelastic.
Which is directly synonymous with saying the price is not subject to supply and demand pressure because that would imply elasticity.
You pointed to price inelasticity as proof of price elasticity. God fucking damn.
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It makes the already-wealthy owners of the extraction license wealthier and nothing more than that you [edit personal insult removed because I didn’t realize this wasn’t Hexbear, disculpe]