2k7gtcs

Just saw this on Drudge. Without oil these people would be in the stone age.

http://www.dailymail.co.uk/pages/liv...n_page_id=1811

StangMahn

that fn pisses me off! it cant possibly cost more than about 1.50 to put a gallon of gas out, and that would be making huge profit, they're just super greedy

We just need to come out with fuel alternatives, use them, and by economic principles, crude oil will have to go down

2k7gtcs

Well OPEC controls production of much of the world's oil producers as long as they agree to go along with OPEC as planned. Much of the problem lies in:
1. with artificial manipulation of market by OPEC
2. our own unwillingness to drill in our Gulf, or off of Cali coast, or in Alaska
3. Problems with 50 states having 27+ different blends of gasoline in both summer and winter blends
4. and so on, and so on

Everything is against lower prices and nothing helping it. Free the marketplace while we find an alternative.

ScottyBoy302

Ever hear of the tower of Babel? Round 2 anyone?


You seem to be forgetting about companies like Exxon, BP, etc. They dont seem to be too hurtin for cash in the last few years either. Cant blame everything on the foreigners.

2k7gtcs

If they're breaking rules or guilty of collusion then shame on them. Price fixing is illegal and should be criminal if that is the cause and as Attorney General I would look into the oil companies at every oppurtunity because cheap oil and gasoline is the lifeblood of our economy.

But we live in a "free" market in which companies sell products and services and receive compensation, hopefully more than they spent to produce the product or service. So I can never begrudge even as I'm filling up on $4 diesel and $3 gas, corporate profit. Who is to be the judge of how much profit is enough profit? Hillary, Obama, or how about Chavez? If the government finds ways to take these companies profits then you will see gas prices through the roof, because they will go where they can make a profit, Australia, Brazil, China and not sell here. Why would you sell in the U.S. for a mandated $2 per gallon when you can go to a country that would be happy to pay $3 per gallon. Or how about if at the end of the year government said you made too much and from now on you can only make a cerain amount, even though yourneighbors can make whatever amount they want at their jobs. Government should leave it alone, all they do is cause the problem they are trying to fix. Besdies where do those profits go, into 401k's, IRA's, Mutual Funds, or better yet dividends to stock holders. And one more thing if a baseball player can get 30 million a year, then why shouldn't a CEO who employs tens of thousands of employees get duely compensated. The fault lies with Washington. The fault always lies with Washington. I'm not blaming foreigners, they're selling their resources in the marketplace except for the fact they've fixed the marketplace with OPEC price fixing.

And this post is not directed at you Scott, I just reflected on the story above for about a day and finally decided to post my responses, no ofense to anyone I'm stating opinion and not preaching!

Martimus

Price fixing happens... ever notice that soon after gas station A changes its prices then gas station B right across the street also changes its prices?

Hopefully someone like you can get themselves into a position like Attorney General and make a difference. Here in Arid-zona the AG's office has investigated gasoline price fixing time and time again and each time they conveniently find nothing. Not that I'm accusing the past AG's of doing something illegal but theirs IS an elected political position...

2k7gtcs

Yeah that's always really bugged me about gasoline prices. They see the store down the street post a price and then they post to meet it. Where else can you drive by and see exactly what your competitor's price is without getting out of your car. My bigger beef is when crude oil goes up on speculation of trouble in some small corner of the world like Chad, and the local gas station jumps their price $0.10 on gasoline they've already had and they shouldn't see the increase for some time. They are also very quick to raise prices and extremely slow to lower pirces. The best thing, is to allow us to use our own resources and please find an alternative. Where's Edison when we need him. Somebody's gotta step up.

ScottyBoy302

No offense taken.

That being said, I do somewhat disagree with your viewpoint. You seem to be supporting a business' right to operate however they want and obtain any profit possible. This is all well and good if everybody is playing by the rules and nobody forms a monopoly. Unfortunately, as has already been stated, price fixing happens. Due to the magnitude of the petrol industry these companies have exorbitant amounts of pull on both the government and other industries, which also effects competition by basically squashing it before it can even get a foothold in the North American market. Effectively, the entire petroleum industry functions as one, a decision by one company ripples through the rest since for all intensive purposes they are selling the exact same product and are all looking to make as much profit as possible on said product. Suppose something happens that increases their crude prices by 4%, they all jack their pump prices by 10%. They all benefit from that and it is the consumer that suffers. Sure, shareholders benefit, but when average Joe goes to the pump and leaves with a sharp pain in his a**, i doubt its any consolation to him that someone holding a few hundred grand in BP stock made an extra ten thousand dollars this year.
If it sounds like im only blaming oil companies that isnt my intention. Obviously the middle eastern countries are making a killing as well, but thats a problem that they will have to deal with on their own when their supplies (and economy) run dry.

With regards to the government, whom you lay all the blame on, you make it sound like all theyre doing with tax money is partying and spending it on four thousand dollar hookers (sorry, low blow.). To point out the obvious, taxes pay for the roads youre using, emergency services, subsidizing education, and although im hesitant to get into it, a very costly war that has been draining your economy for years. A lot of people who are looking for someone to blame see the government as as good a place as any, since its the biggest faceless entity to be found. Instead, imagine the alternative, a toll booth on every single road you take everywhere, having to negotiate with a firefighter or an ambulance driver before theyll take you to the hospital or run into your burning house looking for your kids.

Unfortunately, there isnt one person who can take all the blame for the fuel problems. The middle east countries are trying to make every buck they can because they knwo that they only have a limited amount of time, oil companies are trying to make their bucks too, and the government is exacerbating the problems by making ti more difficult and costly to keep a steady supply of fuel coming in, while at the same time throwing their own resources back into the same mess that is responsible for a large part of the increase.


And like you Gary, none of that is meant to be preaching or offensive, just my two cents.

2k7gtcs

I think you see where I'm coming from though. I don't advocate lawless, reckless abandon of business running wild over the consumer, but elected officials should attempt to discern the long term effects of their laws and regualtions a little better. Noone can tell a person or a corporation you've made too much money, under the law, based solely on public opinion and then decide to take that back. I have absolutely nothing to do with oil, gasoline, I don't own stock, I'm not employed by, nor do my relatives work for any oil company. I only post this because I worry that an over-reaching government can stick its nose here and there and before long they've stuck their nose into my industry or yours.

Grell

the local gas station didnt change their price for several days and still made money, they couldnt change the price till the owner got back there to change the price. Now if he still made money at $3.15 Then why did it have to go to $3.29? something isnt adding up in this. Also why cant they be content on making 10 percent or 20 percent like most of us would be glad to do instead of breaking even or making 2 percent or loosing? Why do they have to make 400 percent and 700 percent record profits while the rest of us pay daerly for it. I am for free market but when Greed takes over, we need to put in caps.

Knight

I would say that there should not be a cap on how much profit a company can make.... but this is different becuase it is price fixing where competeing companies are raiseing price together, in a true free market they should be forced to compete and lower prices to win business, but that doesn't happen here.

2k7gtcs

100% agree. The oil commodity market is fixed to begin with. We are talking about the one commodity no one can live without. There is great demand and supply is choked off by OPEC setting limits on its taps and gas producers not having enough refining capacity to keep up. And I don't think any of us, not a single one know the exact numbers or percentage of profit. We think we know but we don't. Maybe its gouging, but maybe they sell so much product in such volume they can't help but make profits that sound ridiculous but taken into consideration may be reasonable. I don't know. The consumer is upset. They feel gouged.

1. I hope I never get called in front of Congress for a hearing because that would last about 10 seconds and end in contempt, and
2. I wish more people felt the same about their tax bill as they do about their gas bill. Maybe if we had to go to the IRS office every 300 miles and give a check at the current posted price we would finally fix this wacky tax code.

ScottyBoy302

Better stay away from canada then, gas is supposed to be near 6 bucks/gallon by the end of may and taxes are a whole lot more than what you folks south of the border pay.

And for the record, my business for now is school, so the government is already in it.

2k7gtcs

Yeah taxes are high and the snow sucks, but from what I've seen Calgary, Canada is like god's country. Beautiful. I guess that beauty comes at a price.

2k7gtcs

My wife is a teacher so I'm one of those few individuals around here that say teachers aren't paid enough. Its a small club of spouses mostly.