Stop exporting oil. In 2006, while importing $331 billion worth of oil, we also exported $36 billion worth. In other words, we could reduce our dependence on foreign oil by over 10% overnight by taking this one simple step. Natural resources should be traded away only when they exist in excess. It makes no sense at all to trade them away when you don’t even have enough to support the needs of your own people.
By the way, when economists point to a rise in exports as proof that the falling dollar is helping our trade deficit, how much of that rise is due to oil exports? A lot. In June, the U.S. exported a record $5.7 billion worth of oil. That’s an annual rate of $68.4 billion worth of oil, a 90% increase over the 2006 rate.
Isn’t it just common sense that we should stop exporting oil?