How & Why has the price of gas gone up? - New England Patriots Forums

PatriotsReign · 02-09-2009, 07:23 AM

We have all seen the price of gasoline increase from about $1.59 to near $2.00/gallon while the price of oil has remained around $40/barrell. Can anyone explain this?

One thing I would like to see the Obama administration do is keep a very close eye on the oil industry to ensure they don't try to increase their profits by increasing the price of gas. The American people just can't afford this right now.

***patsfan13*** · 02-09-2009, 07:27 AM

Maybe they should limits profits at your company also, I can't afford it now. I don't care if you don't get a raise....

wistahpatsfan · 02-09-2009, 07:41 AM

Quote:

Originally Posted by PatriotsReign

We have all seen the price of gasoline increase from about $1.59 to near $2.00/gallon while the price of oil has remained around $40/barrell. Can anyone explain this?

One thing I would like to see the Obama administration do is keep a very close eye on the oil industry to ensure they don't try to increase their profits by increasing the price of gas. The American people just can't afford this right now.

Prices are climbing because the big $4/ gallon scare last August subsided faster than it came. Now people are using more fuel because it's cheaper (they think) and aren't as concerned about fuel efficiency because they're stupid. All that matters is what's happening right this second for most Americans. They think that gas will always be $2/ gallon just like they though it would always be $4/ gallon last August. National ADD.

PatriotsReign · 02-09-2009, 08:02 AM

Quote:

Originally Posted by wistahpatsfan

Prices are climbing because the big $4/ gallon scare last August subsided faster than it came. Now people are using more fuel because it's cheaper (they think) and aren't as concerned about fuel efficiency because they're stupid. All that matters is what's happening right this second for most Americans. They think that gas will always be $2/ gallon just like they though it would always be $4/ gallon last August. National ADD.

That's a great point wista. Although with all the people out of work and it being winter and all, you'd think demand would be down. Do you know for a fact that demand has increased?

Peak demand in the US is typically during summer months.

PatriotsReign · 02-09-2009, 08:04 AM

Quote:

Originally Posted by patsfan13

Maybe they should limits profits at your company also, I can't afford it now. I don't care if you don't get a raise....

Oil & gas are different than any other product, so you can't compare my company with the oil industry. Everyone has no choice but to use oil products while anyone can refuse to buy my company's product if the price is too high.

***patsfan13*** · 02-09-2009, 08:11 AM

NIMBY(not in my backyard) , the other guy is always different....

wistahpatsfan · 02-09-2009, 08:35 AM

Quote:

Originally Posted by PatriotsReign

That's a great point wista. Although with all the people out of work and it being winter and all, you'd think demand would be down. Do you know for a fact that demand has increased?

Peak demand in the US is typically during summer months.

No, I can't prove it. Just going on anectdotal evidence and my knowledge of Societal ADD, which cannot be disputed.

STFarmy · 02-09-2009, 08:36 AM

Quote:

Originally Posted by wistahpatsfan

PNow people are using more fuel because it's cheaper (they think) and aren't as concerned about fuel efficiency because they're stupid. All that matters is what's happening right this second for most Americans. They think that gas will always be $2/ gallon just like they though it would always be $4/ gallon last August. National ADD.

Ding ding! It's a huge concern at 4, but with price as low as 1.50 (a few months ago here in NH), the problem is quickly forgotten. "Hmm I wonder why gas prices dropped fast and the....... heyyyyyy American Idol is on! That Simon is a pisser."

Stupid is the operative word.

wistahpatsfan · 02-09-2009, 08:45 AM

Quote:

Originally Posted by STFarmy

Ding ding! It's a huge concern at 4, but with price as low as 1.50 (a few months ago here in NH), the problem is quickly forgotten. "Hmm I wonder why gas prices dropped fast and the....... heyyyyyy American Idol is on! That Simon is a pisser."

Stupid is the operative word.

Yeah,
It goes from 1.50 to 1.90 and no one bats an eyelash. As long as it stays under 2.

I don't know for sure if people are using more gasoline, but they are using more heating oil because of the cold. I don't know enough about the market pressures and relationships between crude, gasoline, #2 heating, etc. Maybe someone else hers can lay it out.

STFarmy · 02-09-2009, 08:56 AM

Quote:

Originally Posted by wistahpatsfan

Yeah,
It goes from 1.50 to 1.90 and no one bats an eyelash. As long as it stays under 2.

I don't know for sure if people are using more gasoline, but they are using more heating oil because of the cold. I don't know enough about the market pressures and relationships between crude, gasoline, #2 heating, etc. Maybe someone else hers can lay it out.

I'd bet it's increased, but not that much. I'd be willing to call shenanigans on the gas/oil companies. I certainly don't think that the barrel of oil prices fell that much just because of demand. I think the economic problems and the spotlight being on some of those greedy pricks helped motivate them to decrease their prices. I'm not a class warfare guy and a supporter of capitalism, but I do not think that the oil companies operate within the parameters of fair competition. But oil isn't rising, just gas is. So I'm not 100% sure what the problem is.