heathicus wrote:The price at each station (if they are honorable - unlike the one Farmer referenced who raised his price just because the other guy did) depends on the price they had to pay for gas on the day they ordered it for that particular station. It could also be that one station is in location that requires a specific blend of gas that is more expensive than the blend required where the other station is. Throughout the year, there are about 50 different regional/seasonal blends of gasoline that have to be used across the nation.
Then there is the possibility that a station operator is free to set his prices without any 'interference' from his 'supplier'. That is as it should be!
Today it is typically not that way. Tell me with a rational explanation why all retailers raise their price the same time and the same amount!
Too few big firms controlling too much of the market. It is called an oligopoly. One small step removed from a monopoly! And you thought mergers led to better customer service!:rolleyes:
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Goldie(Bought New SN 377425)/4" jointer/6" beltsander/12" planer/stripsander/bandsaw/powerstation /Scroll saw/Jig saw /Craftsman 10" ras/Craftsman 6" thicknessplaner/ Dayton10"tablesaw(restoredfromneighborstrashpile)/ Mark VII restoration in 'progress'/ 10E[/size](SN E3779) restoration in progress, a 510 on the back burner and a growing pile of items to be eventually returned to useful life. - aka Red Grange
From everything I have read on this and heard on the news/radio it is all about the oil futures and the speculators trading in those futures. The government needs to step in and stop ALL petroleum speculation and all of this crazy pricing will stop. There are other issues but the most important one is the speculation. I am at a loss as to how to deal with it. It is truly frustrating to a fault because there is nothing that the regular guy can really do to combat the problem. You would think that the administration in Washington would be all over this as it is effecting everything not just the gas prices. Because we have to ship everything in our economy it effects the price of everything and that means everything increases and with all of the talk about the economy you would think the administration would do something immediately to stop the soaring gas prices??????? It is just making Obama's and his cronies jobs even more tough to do so why don't they DO SOMETHING!
Michael Mayo
Senior IT Support Engineer
Soft Designs Inc. albiemanmike@gmail.com
1960's SS Mark VII, 1954 Greenie, 1983 Mark V, Jointer, Bandsaw, Jigsaw, Dewalt Slider, Delta Super 10, Delta 8" Grinder, Craftsman compressor, Drill Doctor, Kreg PH Jig, Bosch Jigsaw, Craftsman Router and Table...........and adding more all the time....
wannabewoodworker wrote:From everything I have read on this and heard on the news/radio it is all about the oil futures and the speculators trading in those futures. The government needs to step in and stop ALL petroleum speculation and all of this crazy pricing will stop. There are other issues but the most important one is the speculation. I am at a loss as to how to deal with it. It is truly frustrating to a fault because there is nothing that the regular guy can really do to combat the problem. You would think that the administration in Washington would be all over this as it is effecting everything not just the gas prices. Because we have to ship everything in our economy it effects the price of everything and that means everything increases and with all of the talk about the economy you would think the administration would do something immediately to stop the soaring gas prices??????? It is just making Obama's and his cronies jobs even more tough to do so why don't they DO SOMETHING!
Let's just outlaw ALL futures trading!
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Goldie(Bought New SN 377425)/4" jointer/6" beltsander/12" planer/stripsander/bandsaw/powerstation /Scroll saw/Jig saw /Craftsman 10" ras/Craftsman 6" thicknessplaner/ Dayton10"tablesaw(restoredfromneighborstrashpile)/ Mark VII restoration in 'progress'/ 10E[/size](SN E3779) restoration in progress, a 510 on the back burner and a growing pile of items to be eventually returned to useful life. - aka Red Grange
I think they're doing exactly what they want to do -- allow prices to run amok so alternative or renewable energy looks more attractive. Meanwhile, blame others like the oil companies, futures traders or volatile areas like the Middle East so that no one notices Washington's lame policy on energy. And don't expect the media to spotlight the folly; they're parters in the affair.
pennview wrote:I think they're doing exactly what they want to do -- allow prices to run amok so alternative or renewable energy looks more attractive. Meanwhile, blame others like the oil companies, futures traders or volatile areas like the Middle East so that no one notices Washington's lame policy on energy. And don't expect the media to spotlight the folly]
QFT.
Speculators aren't really the problem. They just reflect the best guestimate of what is about to happen in the market. To find the problem, you have to look at why the speculators are speculating the way they are. And that is decreased supply and increased demand.
Demand is rising world-wide, but especially in China, India, and other developing nations. And as I mentioned before, the supply is not really changing.
I know we're venturing into politics here, but if you really want to lay the blame somewhere, you have to start with our energy policies. This "task force" the President is setting up to examine gas prices is a red herring. It's the hand the magician wants you to see while the other hand is doing something he doesn't want you to see. And I think pennview is exactly right - the administration wants the price of gas to rise to make alternative energy more attractive. And it doesn't stop at gasoline.
" wrote:Under my plan of a cap and trade system, electricity rates would necessarily skyrocket.
Energy prices rising is part of the plan.
JPG40504 wrote:Then there is the possibility that a station operator is free to set his prices without any 'interference' from his 'supplier'. That is as it should be!
My sister and her husband own a convenience store and a lot of what I know comes from them. The price of gas at their station is based on what they have to pay for it. After one recent sudden spike in prices, they waited as long as they could to re-fill their tanks, so for several days they were about 10 cents lower than anybody else. But when they finally had to buy more gas, they were a cent or two higher than everybody else. Although the station operators do have some flexibility in their prices, the profit margin is so slim that there really isn't much room there. I guess that's why some stations take the "I raised my price because the other guy did" approach when they can.
Heath
Central Louisiana
-10ER - SN 13927, Born 1949, Acquired October 2008, Restored November, 2008
-10ER - SN 35630, Born 1950, Acquired April 2009, Restored May 2009, A34 Jigsaw
-Mark V - SN 212052, Born 1986, Acquired Sept 2009, Restored March 2010, Bandsaw
-10ER - SN 39722, Born 1950, Acquired March 2011, awaiting restoration
Goldie(Bought New SN 377425)/4" jointer/6" beltsander/12" planer/stripsander/bandsaw/powerstation /Scroll saw/Jig saw /Craftsman 10" ras/Craftsman 6" thicknessplaner/ Dayton10"tablesaw(restoredfromneighborstrashpile)/ Mark VII restoration in 'progress'/ 10E[/size](SN E3779) restoration in progress, a 510 on the back burner and a growing pile of items to be eventually returned to useful life. - aka Red Grange
I have noticed that the traffic in Washington State has gotten much better since the price of gas has gotten so high. The politicians love it. They have been pushing hard for more people to ride the Transit and they are. It going to be much easier here at least to push the stupid light rail thru the legislature up north of seattle. The gas taxes are going to increase to the point that even if the price of a barrel of gas goes down the price you pay at the pump will continue to rise.
2 Greenies 1st one 282274 10/54 , 2nd one 293858 3/55
Speculators aren't really the problem. They just reflect the best guestimate of what is about to happen in the market. To find the problem, you have to look at why the speculators are speculating the way they are. And that is decreased supply and increased demand.
Demand is rising world-wide, but especially in China, India, and other developing nations. And as I mentioned before, the supply is not really changing.
I know we're venturing into politics here, but if you really want to lay the blame somewhere, you have to start with our energy policies. This "task force" the President is setting up to examine gas prices is a red herring. It's the hand the magician wants you to see while the other hand is doing something he doesn't want you to see. And I think pennview is exactly right - the administration wants the price of gas to rise to make alternative energy more attractive. And it doesn't stop at gasoline.
Energy prices rising is part of the plan.
My sister and her husband own a convenience store and a lot of what I know comes from them. The price of gas at their station is based on what they have to pay for it. After one recent sudden spike in prices, they waited as long as they could to re-fill their tanks, so for several days they were about 10 cents lower than anybody else. But when they finally had to buy more gas, they were a cent or two higher than everybody else. Although the station operators do have some flexibility in their prices, the profit margin is so slim that there really isn't much room there. I guess that's why some stations take the "I raised my price because the other guy did" approach when they can.
From what I have been told, convenience store operators make only $0.05 per gallon sold.
