Drinking olive oil is beneficial but so is adding extra virgin olive oil to fresh food such as Mediterranean salad, Greek salad or Humus. I found the taste of olive oil in my Israeli salad pleasant while drinking oil is not on my top list of pleasures...
Accounts of farmers in Greek that drank olive oil as their breakfast and passed the age of 100 and of an Israeli woman who drank olive oil and passed the age of 120 were published. I'd dare to say, if one manages to eat any food for many years he would reach old age anyway…
The health benefits of extra virgin olive oil are well documented and well established. There is no solid evidence that proves the superiority of drinking extra virgin olive oil over its use for cooking or for salad dressing. I collated data on special situations in which it was claimed that drinking extra virgin olive oil show real added value. In the paragraphs below I describe these special situations.
Wetting the throat before a singing recital: actual singers report that to drink a teaspoon of olive oil before a recital or gently bite into olives (olives are abundant in any bar, many singers perform in bars) helped them to avoid voice cracking.
Olive oil before bed time: Olive oil can be consumed as is (one teaspoon) before bed or to be mixed with freshly squeezed lemon juice (1:1 ratio). The first will supposedly help with snoring problems, the second is supposed to help with the health conditions of the liver. The claims about virtues of olive oil and lemon juice for liver and gallbladder cleansing are controversial. Some researchers even claim that this cleansing method is harmful.
Pregnancy and delivering: The claim is that olive oil flexes the tissues and if taken daily just before expected delivery it can induce birth and ease the associated pains.
Regardless of how olive oil is consumed, as long as one takes 2 tablespoons of olive oil daily one will see an improvement in health conditions. View my page on olive oil health benefits. It reduces the rate of cardiovascular diseases, it is a great helper for constipation, it contains potent anti-oxidants and although not proven yet it is suspected that olive can reduce the chance to get cancer.
Cooking with extra virgin olive oil if one keeps the temperature bellow the smoke point is a good way to use olive oil. Baking with olive oil (as a butter replacement) is healthier because not like butter olive oil does not contain cholesterol.