Click here for a good article on the economic impact of the Keystone pipeline. gg found Washington’s point interesting. gg will need to look at the numbers a little more closely to confirm.
But the real story here is not Keystone. One of the main reasons that the industry has focused so much on refined oil products to make money is because crude oil is now a process. The oil that we can get out of the ground (globally as well)moving forward, even with new technology, is very crude, that requires more and more expensive refining processes to make it usable for anything, especially gasoline. Expensive wells and expensive processing requires debt. We are in a global debt collapse. Anything connected with debt will become more expensive. And since the US has set up an infrastructure so dependent on cheap oil, prices must continue to go up long-term. And if we are smart, we will start using oil to set up a more diverse infrastructure, but even that will be expensive.
This is the reason gas prices will continue to go up regardless of the petro-dollar. But changing the petro-dollar will certainly have an impact. It is these things that make gg continue to write about peak oil. Peak oil is not about no oil: it is about the grade of crude available and the expensive processes to get it out of the ground and form it into something useable.
As I stated a few days ago, the US GDP driver is exports, dominated by oil-energy exports. Chances that the government will do anything necessary to continue to keep exports up is very high.