How much has gas jumped in your area since Katrina and is it price gouging or supply and demand?

9/1/05 | Self

[Blood of Tyrants]

I don't believe that. No company operates with so few liquid assets that the lack of a few thousand dollars would put them out of business. Besides, businesses like that are BILLED for the gasoline. They don't write a check to the driver.

[Sybeck1]

$2.67 at the Shell here in North MS this morning.

[lugsoul]

The 'theory' would be that it decreases incentives to suppliers to move product into the market, when they can sell the same products at market prices elsewhere.

That theory ignores certain realities, like supply contracts and the like.

The reason we have shortages is because, in a panic, everybody and their brother in Atlanta filled their tank yesterday. Labor day weekend coming up, and all.

[Blood of Tyrants]

Tell you son that we don't have solar powered cars because it would take a solar panel the size of a large billboard to for a car to do 40 mph.

[Shannon]

Call your Senators. That's what I did first thing this morning. I was told they're getting loads of calls. It will make a difference if everyone calls. Remember, most want to be reelected.

[Conspiracy Guy]

The government needs to stay the F out of this. It is supply and demand. I believe that when it reaches the point I can't afford it, I'll stay home. It is cutting into my beer money though.

[grame]

In our small midwest town, we went to bed on Tues with the price of 2.61. We woke up to 3.49. In my daughter's town the average yesterday was about 3.18. My weekly budget for gas for my car was 100 dollars a week. These prices will add about 35 additional dollars to that. I am a rural mail carrier who uses my own car.

[absolootezer0]

the idea is when you buy a product at a given price you expect to be able to buy the same product tomorrow for the same price. if you know you'll have to pay more tomorrow, you need to charge more today to be able to afford to buy tomorrow.
if it costs $1 today and you sell for $1.25. how much will you be able to buy tomorrow when it's $1.50 to buy?

[palmer]

please explain why gas prices don't go down as quickly as they go up.

As I pointed out in my previous post, as soon as you stock up anticipating a price increase, the price increases that much more quickly. Instead of selling your extra jerry cans of fuel when the price is about to decrease, you burn it.

[Dane]

This is not a short term problem. My 10 yeare old said ," Why dont we have Solar powered cars?" I told him I asked my Dad the same question in 1974!!!!!!!!!!!!!!!!!!!!!!!!!!!

No sh!t sherlock.

BTW, IMO, if someone said to you to build more nuclear plants and use coal, I surmise you would go ballistic, envirowhacko.

[Blood of Tyrants]

Sounds like time to go and ask for more gas money.

[Doohickey]

He's already relaxed the Clean Air Act that mandates the boutique fuel blends.

[mc6809e]

The "replacement cost" theory would be believeable if the price went down as quickly as it went up. It doesn't and you know it. Besides, are you saying that $5/gal (Atlanta) is justified when oil is $70/barrel?

If gas is so damn easy to get to Atlanta, then why aren't people rushing there to supply gas at $4.50/gallon and raking it in? Answer? Because it just got a lot harder to get gasoline to Atlanta. It used to go by pipeline, but that pipeline is disabled.

Besides, how does anyone decide what price is the "right" price? You talk as if there is some objectively correct number floating out there. There isn't.

[Trust but Verify]

Good for you. During this crisis, conservation is the name of the game. Responsible people should be curbing their consumption, if not for economic reasons, for national security.

[Blood of Tyrants]

Solar powered cars ar impractical because it would take a solar panel the size of a large billboard to power it.

[johnny7]

Nice job!

[skinkinthegrass]

Sunday, Unl: 2.499 Katrina Hits
Monday, Unl: 2.599 4.0%+
Wedsday, Unl: 2.999 15.4%+
Thursday: Unl: OMG, WTF...@#$%&!
Gouging = LOOTERS
...Build more refineries...Cut Paperwork and Scrap E.P.A./ DRILL MORE / Develop Western Oil Shales / Longterm Tax Incentives / Disperse Refineries / Imprison All Eco-Terrorists...or Make 'Em walk.

[palmer]

Call your Senators.

And tell them what? You want free bread and circuses with your free gasoline? Why not call your fellow freeper who filled up his truck and two jerry cans when the storm hit? He is the person who made the price go up.

[flashbunny]

And what, exactly, are our senators to do about this?

Expand domestic drilling?

Fast track more refineries?

Or demonize big oil or local gas stations for making that evil thing called "profit".

[Trust but Verify]

I believe what is happening is that these stations are jacking their prices up not to gouge, but to try to dsicourage panic buying. In many places, they are running out of gasoline completely.