McCain: Make Gas Cheaper - Page 4 - PhillyBlog

raider.adam · #31 (**permalink**) 04-16-2008, 02:01 PM

Quote:

Originally Posted by Simon Wolf

You're so right, because that's how gas pricing always works! That's why we all buy our gas at ExxonMobil, as they're always $0.15 cheaper than everyone else! I don't know why anyone bothers to compete with them.

Seriously, haven't you ever noticed that the price per gallon rarely varies by more than $0.05/a gallon in any given area? The reality is that if one gas station raises their prices, all the rest do, too, as you can't not buy gas. They can charge whatever they want and don't have to worry about undercutting the competition because they're selling a commodity that people literally cannot live without.

It's called, but the way, economics.

You still don't get it.

PhillyRunner · #32 (**permalink**) 04-16-2008, 02:23 PM

Quote:

Originally Posted by Illiniwek

Unfortunately, as it turns out, too much of the money isn't being spent on roads and bridges. In some cases, state governments are raiding road funds to cover gaps in their general revenues. As a result we have a lot of rotting and crumbling infrastructure. Those funds are often diverted from their original purpose by lawmakers who turn around and bitch about the oil companies.

Preach on!

BTW, I love your idea re a "pigovian rebate". If I were feeling saucy and argumentative, I'd casually suggest that tax credits for low-income individuals are, in some ways, a form of pigovian rebates to help compensate people who have been denied employment opportunities as a result of government policies that reduce the number of available jobs.

But I'm not feeling quite so saucy or argumentative, and I don't have the patience to deal with those who believe that government policies create prosperity, so I'll leave it alone.

PhillyRunner · #33 (**permalink**) 04-16-2008, 02:27 PM

Quote:

Originally Posted by tbdiscovery

Excellent on all levels.

http://gregmankiw.blogspot.com/2006/...manifesto.html

Thank you for tracking that down, tbd. I'm far too important (read: lazy) to have done it myself.

PhillyRunner · #34 (**permalink**) 04-16-2008, 02:28 PM

Quote:

Originally Posted by raider.adam

You still don't get it.

A graduate of the Adlerian School of Economics.

raider.adam · #35 (**permalink**) 04-16-2008, 02:34 PM

Quote:

Originally Posted by PhillyRunner

A graduate of the Adlerian School of Economics.

Ha!

tbdiscovery · #36 (**permalink**) 04-16-2008, 03:55 PM

Quote:

Originally Posted by Simon Wolf

You're so right, because that's how gas pricing always works! That's why we all buy our gas at ExxonMobil, as they're always $0.15 cheaper than everyone else! I don't know why anyone bothers to compete with them.

Seriously, haven't you ever noticed that the price per gallon rarely varies by more than $0.05/a gallon in any given area? The reality is that if one gas station raises their prices, all the rest do, too, as you can't not buy gas. They can charge whatever they want and don't have to worry about undercutting the competition because they're selling a commodity that people literally cannot live without.

It's called, but the way, economics.

I just want to add that individual stations have very little margin to work with. The companies set the rate and the entrepreneurial station owners have to choke it out with local competition (see your local attendant's wages for proof of the low margin). Their profit levels are very low, and I can only imagine that the constant price changes cause gray hairs and health problems.

From what I have heard on here, and I have done no research on it, WaWa is able to offer gas so cheaply because the net result is higher in-store sales. And this is why some gas stations actually close, just like Walmart kills small retailers. The small stores fight it out until they go under.

eldondre · #37 (**permalink**) 04-16-2008, 04:39 PM

Quote:

Originally Posted by tbdiscovery

From what I have heard on here, and I have done no research on it, WaWa is able to offer gas so cheaply because the net result is higher in-store sales. And this is why some gas stations actually close, just like Walmart kills small retailers. The small stores fight it out until they go under.

frequently the ones that have it the toughest are the franchisees who are forced to do corporates bidding and buy at their prices. independents buy on the spot market like wawa and can sometimes undercut folks like sunoco (although you're right about wawa). many independents folded when the new tank requirements and I'd venture to say selling gas as an independent doesn't make much sense unless you run another business like a shop/uHaul/food store. Wawa has been great. Where I grew up we always had expensive gas...until wawa came to town. they were all forced to lower their rates (except exxon because they had the best location and people, at least then, woudl pay for the convenience or b/c they were lazy).

Quote:

Originally Posted by markeddixon

Similarly, globalization hurts U.S. factory workers. But that hasn't stopped globalization, has it? The counter-argument -- that globalization helps more Americans than it hurts -- has carried the day so far.

There are ways to help people at the bottom end cope with higher gas prices. But higher, much higher gas prices are what will eventually loosen the stranglehold of petroleum.

(Truckers are entitled to earn a decent living, so they should pass through all their costs -- including fuel costs. Their solution is to refuse to haul loads that don't pay enough.)

One coudl also argue that globalization isn't a choice or that the alternate choice, isolationism, is even worse. the stranglehold is already being weakened. the next answer just hasn't arrived yet but that doesn't eman it won't. I don't see the argument for dramatically higher gas taxes unless it's link to road maintenance. That's not to say we shouldn't put money into alternate modes of surface transportation but higher gas taxes are passed on to consumers, which hurts those who make less. Some countries even subsidize gas (not that I'd recomend that).

Illiniwek · #38 (**permalink**) 04-16-2008, 05:54 PM

Quote:

Originally Posted by PhillyRunner

A graduate of the Adlerian School of Economics.

In fairness, the Adlerian School claims it has found a way for the management of Phillyblog to make millions off our posts about cheese, cats and happy hours.

Jamaicanmenuts · #39 (**permalink**) 04-16-2008, 07:30 PM

Pathetic pandering by a candidate who obviously has no grasp of the economic problems facing the USA

Scoats is right. Not only that but we will have $5.50 a gallon gas by the end of 2009. No one should be driving those big minivans with one person in them. I see it all day long. My co workers have them and complain every day as if someone put a gun to their heads and made them buy one. And each co worker only has 2 children...it is ridiculous !

I asked them how often is the van filled with 5 people and supplies...they say maybe 4 times a year.
Let them rent a mini-van for vacation. Fools !

McCain has a grasp all right; typical politician who doesn't give a hoot about working people

Jamaicanmenuts · #40 (**permalink**) 04-16-2008, 07:35 PM

Oh and ethanol is the biggest scam going. Older engines in cars get less mileage and it stresses the engines.
We will always be beholding and dependant on oil and fossil fuels. The politicians who promise otherwise are full of S*#T !

There isn't enough land in this land rich nation to grow the amount of ethanol to put a dent in fuel usage. If you research it thoroughly
you will want to puke every time you hear that promise.

We need to change our lifestyles; most people know that intuitively but no politician will say so. Nor will they fund mass transit and law enforcement.