“Of the $1.6 billion the Corps of Engineers had allocated as of Oct. 17 to rebuild Iraq’s oil infrastructure, some $762.4 million had been spent to import fuel and repair Iraq’s fuel distribution network. Halliburton is permitted to earn a profit of anywhere from 2 to 7 percent on the cost of the assignment.”
“Given the extraordinarily high prices that Halliburton has been charging to import gasoline, this action could save American taxpayers hundreds of millions of dollars,” Rep. Henry Waxman,
We only get 2-7% on the cost it takes us to do the job? How will we make more money? Any Economics 101 student will tell you, “run up the cost”.