The size of the oil supply depends on the price (and visa-versa)

[napoleon_in_rags]

5. "it would already be being pumped"

Nonsense, the BP oil spill was based on the fact somebody thought it would be AWESOME to be drilling that deep beneath the ocean's surface, like a cool skateboard trick. The could have drilled another traditional well in Texas, but how much less awesome would that have been?

You're right on all of this, I just wonder what the hell people are thinking to not see it.

As far as the prices go, what I want to see is a good chart mapping stock market growth with a delayed oil price surge. It seems whenever the economy goes up, oil goes up, and eventually tanks the economy. Oddly, if what they say is true about Obama losing popularity based on gas prices is true, the recent increases in the stock market could be bad news for the incumbent.