With crude oil supply in flood stage and prices downshifting, America’s political elite still finds itself unable to lift the outdated ban on U.S. exports of crude oil, write Jim Krane and Anna Mikulska. "American crude sells at prices well below those of comparable international grades. The discount is being pocketed by U.S. refiners configured to handle light crudes. Naturally, they oppose lifting the ban because doing so would end the extra profits they earn by converting artificially cheap crude into gasoline. Gasoline, unlike crude oil, is exportable. The price at your local service station is based on the global price, not the depressed domestic price for light crude oil."
Read "Why banning exports makes American oil cheap for refiners, but not for you" in the April 1, 2015, Forbes blog.