( CNN ) -- Gasoline prices set a record for the 16th consecutive day Wednesday . A gallon of gas cost an average of $ 3.62 , according to AAA , and much more in some markets . Shell Oil Co. President John Hofmeister says a boost in U.S. production would startle the world market . All three presidential candidates have weighed in on the issue , and President Bush on Tuesday addressed it during a news conference . John Hofmeister , president of Shell Oil Co. , the U.S. division of Royal Dutch Shell , addressed rising gasoline prices during an interview Wednesday with John Roberts on CNN 's `` American Morning . '' ROBERTS : What do you say to people who are in this budget crunch of trying to fill up the family car ? HOFMEISTER : I say we need more gas to be produced in this country . I 've been saying that for three years , ever since I took this position [ as president of Shell ] . If the U.S. set a goal to produce 2 to 3 million barrels more a day in this country , we would send a shock around the world that would immediately say to the speculators , hey , U.S. is serious . President [ Bush ] said something yesterday about this . I did n't hear him , but I think that 's good news . But we should set a specific target . The presidential candidates should be out there on the postings saying let 's increase domestic production by 2 to 3 million barrels a day . That would be something that would put money back into this country , jobs back into this country , and it would bring more supply toward the Americans who need it . ROBERTS : The president is advocating more drilling on U.S. territory . Is n't it true that globally we 're starting to reach a peak in production and that within maybe a decade or two oil production will begin to decrease ? HOFMEISTER : Well , I think there is some argument [ that ] with convenient , easy oil we will peak sometime in the next decade . I think Shell sees that coming , but in terms of total oil supply to the world , we 're a long way from reaching peak oil because it does n't take into account unconventional oil . I think the president brings up a good point in that we could , we have the available domestic supplies off the coast of Alaska as well as [ the Alaska National Wildlife Refuge ] . Shell has won $ 2 billion worth of high bids for the Chukchi Sea -- that 's a few years off before we could begin production . But let 's remember there 's more than 100 billion barrels of untouched oil and gas in this country that is subject to a 30-year moratorium . Now , there 's only one body in this country that can set a 30-year moratorium , and that 's the U.S. government . ROBERTS : Sen. Hillary Clinton wants to slap you with a 50 percent tax on what she calls windfall profit , profit above a certain level . Is that a good idea ? HOFMEISTER : Look at our revenues and our income for the last quarter . If we had made $ 7.8 million on $ 114 million of revenue , nobody would call that excessive , because that 's 7½ percent . We made $ 7.8 billion profit on $ 114 billion revenue -- same 7½ percent . So to me that is not an excessive number when banks and pharmaceuticals and IT companies earn a whole lot more . Watch Hofmeister defend Shell 's profits » . ROBERTS : Would it hurt you if she put in place this tax on the windfall profits ? HOFMEISTER : Sure it would . It would slow down investment . Taxing the oil companies was tried in the '80s . It drove us to do imports , which is exactly the problem we have today . ROBERTS : Where is the top of all this ? How high can the price of a barrel of oil go ? How high will the cost of a gallon of gasoline go ? HOFMEISTER : I heard somebody say the other day it 's as long as a piece of string . We do n't know . ROBERTS : The president of OPEC said $ 200 a barrel . HOFMEISTER : Yeah , well , there are some countries out there subsidizing the cost of their energy to their consumers and industries to compete with America -- or against America -- because they think America wo n't solve the problem . ROBERTS : You 're saying you have no idea where the top is . HOFMEISTER : We do n't know . But we should produce more oil in this country . E-mail to a friend .
U.S. should produce 2 million to 3 million more barrels a day , says John Hofmeister . The United States is the world's largest oil producer and exporter of crude oil. Shell 's $ 7.8 billion profit not excessive , company president says . Executive says he ca n't predict how high price of oil will go .