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Thread: Anit-monopoly law passed!!!

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[quote=ICEBERG,248364]Quote: is oil really a matter of national security ? Exploiting oil in other countries is not, this shall be left to private companies it is a very profitable field. And the state doesnt need to get involved in it.

Erencius, I should say that oil is really a matter of national economic security. Without it, do you think that China's economy will keep developing fast? Some related industries might be seriously affected and the speed of China's economy might be slowed down. In China, it is state owned enterprises that have controlled the sales and exploitation of oil. Those private enterpries do not have the chance to make profits from it.

Why does US show its great concern of Middle East? I guess that oil is one of the main reasons. China is not exceptional. It is also looking for the oil outside. In Africa and Venezuela, it cooperates with corporations from those places to exploit or buy large amounts of oil to satify its domestic demand. What does this suggest? Oil is very important for any nation.

Sometimes, the government should not let the market to decide the price freely. At present, the oil price keeps surging. In order to meet its domestic demand, China buys oil outside at high price and then sells it at low price in the domestic market. This move is not in accordance with the market rule. But China should do it because it is in a special situation. The CPI is too high and the inflation is emerging. Confronted by this, China has to buy at high price and sell at low price.[/quote]

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