Originally Posted by hip hop bunny hop

Actually, the USA has more oil than Canada; the problem is it's in a form of tar sands that's more difficult - that is, economically less cost effective - to develop. Further, our tar sands are in an area that's more population dense, which results (rightfully so) in a NIMBY attitude. (this is kinda of like how Venezuela just passed Saudi Arabia as the nation having the highest amount of proven oil reserves; what these statistics don't take into account is the economic viability of extraction & refining).......

But, yeah - why is oil more expensive in Canada than the USA? Well, it boils down to several things, but the primary one is that which I mentioned earlier - the USA's deficit fueling inflation. The idea being, you see, that it after inflation reaches point (X), it will be cheaper to buy American goods rather than foreign, resulting in a decrease in the trade deficit. So, for our current example, it'd make the green river tar sands more economically viable. It also makes our exports cheaper for foreign nations, and reduces the cost of our deficit, etc....

Forgive me if my post is a bit topsy-turvy, but Mr. Beam came over for a visit.