Cost of OPEC to produce a barrel of oil...

[morello]

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Where is your $4 figure coming from? I highly doubt it is accurate.

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im pretty sure its accurate. however it doesnt factor in other economic costs, the fixed costs of research, building the oil rig/driller, the infrastructure to move the oil

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Then it can't be accurate!

It's like saying "Intel charges $100 for a processor when it costs 30 cents to make!" While that may be true, they spend millions on these "other" costs (mostly research).

Not including them is silly, especially in an argument that's trying to claim an enormous markup is being made.

[Voltron87]

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Where is your $4 figure coming from? I highly doubt it is accurate.

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im pretty sure its accurate. however it doesnt factor in other economic costs, the fixed costs of research, building the oil rig/driller, the infrastructure to move the oil

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Then it can't be accurate!

It's like saying "Intel charges $100 for a processor when it costs 30 cents to make!" While that may be true, they spend millions on these "other" costs (mostly research).

Not including them is silly, especially in an argument that's trying to claim an enormous markup is being made.

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well, it is accurate. right now, they oil refinery in question could produce another barrel for 4$. (or whatever the marginal cost of a new one is)

youre right, but in this case your wrong. when the fixed costs have been covered, then it really does cost 4$ for another barrel. and from an economic standpoint what the investment group who started the oil refinery paid to set it up is moot. kind of like dead money in the pot.