The gains to the United States from its sanctions policy toward Russia need not benefit only a few oil companies and their shareholders. A two-part policy that permits oil exports only from incremental new production could turn American households from losers into winners.
NEW YORK – The United States exports more petroleum than it imports. As a result, the country as a whole benefits from the recent spike in global oil prices. But American households think they are hurt by the higher prices, because all the benefits have gone to US oil companies and their shareholders. No attempt has been made to distribute any portion of the windfall to US households, even though today’s higher energy prices are largely the result of a US government-led action – the sanctions on Russia following its invasion of Ukraine.
NEW YORK – The United States exports more petroleum than it imports. As a result, the country as a whole benefits from the recent spike in global oil prices. But American households think they are hurt by the higher prices, because all the benefits have gone to US oil companies and their shareholders. No attempt has been made to distribute any portion of the windfall to US households, even though today’s higher energy prices are largely the result of a US government-led action – the sanctions on Russia following its invasion of Ukraine.