More on High Gasoline Prices

[Essex502]

Originally posted by Dave C
Not trying to defend the oil companies... yes they are greedy.
But crude oil is up almost 30% since last year. Last year it was averaging $28-30 a barrel... Now crude is $39-40 a barrel.
food for thought.
the price of crude also benefits oil companies if they own the production. which explains some of the obscene profits.
I agree with the cost of crude but 12 years ago the cost of crude was about where it is today the the pump price is much higher primarily due to the refiner's margin. California refinery margin is averaging about $0.60/gallon where gulf states the margin as around $0.22/gallon. Market power is the main reason. They got it and we want it.

[summerlove]

Originally posted by MagicMtnDan
The spiraling oil prices have no where to go but up. And the reason for it as others have said is pure greed and the fact that oil companies are public companies and "need to" (want to and can) report better results (more profits) EVERY QUARTER.
They're in the unique position of being able to turn up the price every quarter and there's no one to stop them!
if this were the clinton or any other democratic admin you sure as he$$ would not be defending them, now would you MMD?
My god man, don't you ever question anything? You're too wound up - go buy yourself a big tall glass of reality!

[058]

Don't look for any help from the govt. Republican or Democrat alike. With the budget crisis all forms of govt. benefits from higher fuel prices be it higher % of sales tax and less consumption meaning more public transportation use and less air pollution. When you look at all the angles of higher prices everyone wins except the consumer. Bush may be an "oil man" but Kerry pushes a $.50/ gallon tax and if he gets elected look for gas to be 50 cents [+ more sales tax] higher than it already is now. $3.50-3.75 a gallon is starting to look like a reality.

[Essex502]

With little to no competition in the refinery business in CA we are doomed for a long time to this kind of market manipulation.

[Blown 472]

Originally posted by HavasuDreamin'
I agree 100% and don't have a problem with it as long as the item that is the subject of price collusion isn't a necessity that every American absolutely has to have with no other alternatives.
Now we have a glorified monopoly (price collusion) and Bush isn't doing anything about it. BIG MISTAKE. I am Republican, but if he doesn't get elected to a second term, HIGH GAS prices are one main reason why.
Oh I am sure about sept or oct he will "strike a deal with the saudis" to lower gas prices, just to help his election efforts.

[Dave C]

where did you find the margin data. I been trying to find it. hard data to get for obvious reasons.
Originally posted by Essex502
I agree with the cost of crude but 12 years ago the cost of crude was about where it is today the the pump price is much higher primarily due to the refiner's margin. California refinery margin is averaging about $0.60/gallon where gulf states the margin as around $0.22/gallon. Market power is the main reason. They got it and we want it.

[Seadog]

1. Gas is cheaper than it was 10 years ago based on adjusted dollars.
2. The increased restrictions and jumbled regulations means no incentives to build new refineries. In fact, they predict that the new diesel regulations will put many of the smaller refineries out of business. It would cost the big oil companies billions to add capacity and take years after spending big bucks to fight the environmental challenges. The refineries sell to the highest bidder. If they do nothing, they can sell all they make, but if they spend all that money to expand capacity, the price may go down to where you are not making a profit because of the high debt load.
3. China has increased the amount of oil they use to the point where they are second to our usage now. If we do not pay the going price, guess who will. To save money, we have bought everything "Made in China" and now it has come back to bite us.
It is foolish to blame the oil companies. They are not holding a gun to your heads. You can get rid of your boats and big trucks and drive around in cars that get 40 mpg. If most people did that, then the price of gas would go down from lack of demand.

[HighRoller]

So Bush gets blamed for the gas prices now? So what if he's an OIL MAN, good grief he was from Texas. What else do they have to do there? I still haven't seen how his connections and insider knowledge have helped him in any way. As a matter of fact, if he were actually a powerful OIL MAN he'd be able to pull some strings and get the prices to drop. The problem is simple. The oil companies are more powerful and have more money than anyone in government. How many times have they "vowed to investigate rumors of price fixing" in the oil industry? Have the investigations ever gone anywhere? No, because the oil companies are smart and use some of that pile of money to make big fat contributions to EVERYONE in congress. There isn't one of those greedy bastards, Dem or Repub, that's going to stand up to the oil companies anytime soon so get over it. They're screwing us for one reason;BECAUSE THEY CAN!!!!!

[Essex502]

Originally posted by Dave C
where did you find the margin data. I been trying to find it. hard data to get for obvious reasons.
This I got from a Los Angeles Times article a while back...the LATIMES.COM website only keeps recent articles. It doesn't seem to search very far back.

[summerlove]

Originally posted by HighRoller
So Bush gets blamed for the gas prices now? So what if he's an OIL MAN, good grief he was from Texas. What else do they have to do there? I still haven't seen how his connections and insider knowledge have helped him in any way. As a matter of fact, if he were actually a powerful OIL MAN he'd be able to pull some strings and get the prices to drop. The problem is simple. The oil companies are more powerful and have more money than anyone in government. How many times have they "vowed to investigate rumors of price fixing" in the oil industry? Have the investigations ever gone anywhere? No, because the oil companies are smart and use some of that pile of money to make big fat contributions to EVERYONE in congress. There isn't one of those greedy bastards, Dem or Repub, that's going to stand up to the oil companies anytime soon so get over it. They're screwing us for one reason;BECAUSE THEY CAN!!!!!
Hey HR...
Ditto my post to MMD....