Tensions are running high after Iran shot down an unarmed U.S. drone in the Strait of Hormuz between the Persian Gulf and the Gulf of Oman. The Strait of Hormuz is critically important to the world as one of the most important choke points for oil transport. A country controlling the Strait of Hormuz could stop much of the flow of oil out of the Middle East, causing shock waves to the global economy.
Why, given the surge of oil production in the U.S., are we so concerned about the flow of oil through the Strait of Hormuz? It may surprise many that California is a big reason.
