Gasoline Prices

[jimntx]

Am I the only who has noticed that the gas prices which dropped 30 cents/gal right before the election are now back up 40 cents/gal?

I'm sure it's just a coincidence. 😛

 

[Leto2]

Am I the only who has noticed that the gas prices which dropped 30 cents/gal right before the election are now back up 40 cents/gal?

I'm sure it's just a coincidence. 😛

Are you trying to blame the flux in gas prices on the Republicans or something? If so that's pretty ridiculous. But after all that's the reason Bush went to war, right? :down:

 

[jimntx]

I worked for Texaco for over 16 years. I know how the oil companies operate. Yes, they DO lower prices if they think it will help the Republicans. After all, the Republicans almost never cause them any problem over little issues like massive environmental damage due to those inconvenient spills. The other party has all those treehuggers running around worried about dead animals and areas of the earth made toxic for thousands of years when the REAL issue was the lost revenue from the spilled oil, don't you know.

And, I find your level of naivete refreshing in someone your age. There was another reason for the Iraq war besides the oil? When someone from Texas says, "It's not about the oil it's about freedom," it's about the oil.

 

[Garfield1966]

I am guessing that next summer we will see $4.00 a gallon.

 

[Leto2]

I worked for Texaco for over 16 years. I know how the oil companies operate. Yes, they DO lower prices if they think it will help the Republicans. After all, the Republicans almost never cause them any problem over little issues like massive environmental damage due to those inconvenient spills. The other party has all those treehuggers running around worried about dead animals and areas of the earth made toxic for thousands of years when the REAL issue was the lost revenue from the spilled oil, don't you know.

And, I find your level of naivete refreshing in someone your age. There was another reason for the Iraq war besides the oil? When someone from Texas says, "It's not about the oil it's about freedom," it's about the oil.

You're talking about a 10-20% fluxuation in the price of gasoline. It's hard for me to believe that US oil companies could or would cause that just to help the Republicans. I'm sure they want the Republicans to win, but they help them by supporting their campaigns.

Also remember that the Middle East (particularly Iran and also Venezuela from SA) probably doesn't want the Republicans to win, and they give us a lot of our oil. If your theory about US "big oil" is correct, wouldn't Middle East big oil cancel out the US big oil effect?

Besides, reducing prices across the board and then raising them back up would take some serious price collusion among the oil companies. If someone narked they would all go to jail. I don't think that's worth the risk.

Given all factors, I just don't think that a 10-20% change in price is viable.

I am guessing that next summer we will see $4.00 a gallon.

Eeek. I'm glad I have a 34mpg Honda.

 

[jimntx]

You're talking about a 10-20% fluxuation in the price of gasoline. It's hard for me to believe that US oil companies could or would cause that just to help the Republicans.

Besides, reducing prices across the board and then raising them back up would take some serious price collusion among the oil companies. If someone narked they would all go to jail. I don't think that's worth the risk.

Do you have any idea how much total money is involved in a 10-20% fluctuation in the cost of a gallon of gas in the U.S? We are talking millions of dollars/day. But, when you are making the kind of profits that the U.S. oil companies are making, you can afford to bypass a few weeks of grossly obscene profits for just average everyday obscene profits in order to help your friends.

I never said that the Republicans were doing it. The government has very little, if any, control over gas prices. But, the average American thinks that they do; therefore, the oil companies can help or hurt an Administration by raising or lowering prices right before an election. The public thinks the gummint did it.

Gas prices are a matter of perception anyway. The oil companies jack up the price, then cut it. But, they never cut it quite as far as they raised it. So, when they run the price up to $3.00/gal (from $1.50/gal), then cut it back to $2.20/gal., the average consumer feels like gas is cheap again even though it is now 47% higher than it was before they started raising it.

As I said before, I find your level of naivete refreshing (unless you are under the age of 15). If you only knew how much the oil companies talk to each other! Beside that, it doesn't take a genius or a "criminal" to look across the street and see what price your competitor is charging for gas--makes price collusion very hard to prove. Drive around your city and make note. At one intersection, the Shell station is 1-2 cents cheaper than the Exxon across the street. A couple of blocks away, the Exxon station is cheaper. And, with a Republican administration up until now, they haven't been too worried about anti-trust and restraint of trade and all those other pesky "Democratic" barriers to profit maximization.

 

[Leto2]

Do you have any idea how much total money is involved in a 10-20% fluctuation in the cost of a gallon of gas in the U.S? We are talking millions of dollars/day. But, when you are making the kind of profits that the U.S. oil companies are making, you can afford to bypass a few weeks of grossly obscene profits for just average everyday obscene profits in order to help your friends.

I guess you are smarter than the experts, who are telling us different reasons that the gas prices are fluctuating. Of course, they probably support the Republicans too, so maybe we can't trust them...

Gas Prices on the Rise...

Oil prices have also been on the climb, reaching a two month high near $63 on Thursday after an unexpected drop in U.S. winter fuel stocks. But experts say this is not what is driving the current bump in gas prices, and the main driver is a temporary one.

The recent rise in gasoline prices is a result of holiday demand, tension in the Middle East and colder weather, AAA spokeswoman Ragina C. Averella said in a news release. These factors are less volatile than the cost of crude.

By the way, I like how you say "obscene" profits, as if it's a crime.

 

[bagstacker]

You're talking about a 10-20% fluxuation in the price of gasoline. It's hard for me to believe that US oil companies could or would cause that just to help the Republicans. I'm sure they want the Republicans to win, but they help them by supporting their campaigns.

Also remember that the Middle East (particularly Iran and also Venezuela from SA) probably doesn't want the Republicans to win, and they give us a lot of our oil. If your theory about US "big oil" is correct, wouldn't Middle East big oil cancel out the US big oil effect?

Besides, reducing prices across the board and then raising them back up would take some serious price collusion among the oil companies. If someone narked they would all go to jail. I don't think that's worth the risk.

Given all factors, I just don't think that a 10-20% change in price is viable.
Eeek. I'm glad I have a 34mpg Honda.

All that is required is to manipulate the gasoline supply by altering refinery production schedules. As I understand it, the U.S. gasoline delivery pipeline network is a shared system (somebody who knows more about it please jump in and correct and/or enlighten me), so a relatively small change in production by one or two players can significantly alter the pump price by reducing or increasing supply, particularly during peak demand periods.

Enron used this method to loot California electricity users of billions just a few years ago. By routing California-produced power out of state, Enron's energy traders manufactured a "shortage" of electricity, which, under the California electric utility deregulation law, triggered wholesale prices at least 10 times greater than normal rates. At that point, Enron suddenly had plenty of electricity to sell to California users.

Of course, I realize that correlation does not equal causation, but in the face of a dramatic lowering of gas prices just before the election, followed by a rise in prices, you don't need a tin-foil hat to wonder about it. Are there other factors that might explain such a fluctuation?

At any rate, even a quick glance at history gives us plenty of evidence of the lengths (or depths) to which the powerful and wealthy are willing to go to maintain and increase their advantageous positions. 😉

 

[dariencc]

I am guessing that next summer we will see $4.00 a gallon.

Or higher. B)