Thursday, October 25, 2007 4:12:11 PM
You are exactly correct. In a normal operating situation costs do not generally escalate ahead of the price of the commodity that those costs are associated with. (By the same token, once raised, prices don't fall as fast or as far when the commodity price falls, or at least that has been the trend I have observed over the past 30 years or so.)
However, in the Dragon World, Jabba looks at the inflated bills coming in from vendors to compensate for slow pay/bad checks, compares them to the lesser charges that he's paying his own operating company, and this is what I've been told, but can't swear it's true.
>>>Within the walls of his glass lined cage a massive form stirs and an immense head lifts and out from the depths croaks a voice,
"Zorro, Jabba want more frogs!!! Give me frogs. Me pay me more! Arggggghhhhhh, (belch)"
"Also, will you take a shot at answering Spunkyknight’s questioning his post #10493, “What do you think the chances are at some deep oil?”
Keeping in mind that if anyone had had a really good hint of deeper riches over the past 104 years they'd have probably gone for it in the middle 80's when the price was so relatively high. Really, without a thorough workup of PROSPECTIVE geological reserves, founded on something other than guesswork (ie, not like the "drill here" prospects and maps we used to get in the 80's) there's no way to know.
"As you know, I am perceived as, "Typically it's a not very well informed lessor". I AM NOT BREAKING ANY TRUCE, just asking a question and quoting your memo that was after you said a truce was a good idea. By the way when I said "1/8, previously", it could have been/WAS in 1983/1984 with the price of oil around $11-$13/B, not 2007."
Okey dokey.
LO
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