Sorry to burst bubbles, but Obama's oil profits tax is as bad an idea as McCain's Gas Tax Holiday.
Let's say we passed a really hefty tax and reamed it to the oil companies in a big way. The result of Obama's tax will be that American owned oil companies will shrink in relation to the nationalized oil concerns of China, Venezuela, Saudi Arabia and al.
America will be in a worse position after the collection of the taxes.
A hefty tax on private oil companies would only be valid if it was the privately held oil companies that caused the shortage in supply.
When I look at the world, it appears to me that privately owned firms have a direct control of a smaller portion of known reserves than at any time since the OPEC oil embargo of the Carter years.
It is government—not private enterprise—that is crimping supply.
In the US, environmentalists block access to known reserves. Abroad we find countries like Venezuela nationalizing the oil industry at a record pace.
The long term solution is to let energy companies make their profits. These profits are being re-invested in alternative energy.
The cause of the current energy crisis is that governments are restricting access to oil supplies. The energy crisis will resolve itself when private industry has the ability and economic resources to develop alternatives.
Once again Obama is pulling a page straight from Marx. He is using wealth disparities caused by government control of a market to spur wealth envy in an effort to demand even greater control of the market.