History will be made this day, ladies and gentlemen, May 15, 2007.
That's right, folks, the Austin, Tx. paper indicated that gas prices could go as high as $4. per gallon later this year. In protest of this anticipated and unacceptable hike in gas prices we're (you and I) being asked to participate in what history may well record as "The Great Gas Out of 'O7."
Read on...
DON'T PUMP GAS ON MAY 15th.
According to...someone's calculations 2.292 billion dollars is almost 3 billion dollars. First, 2.292 billion is closer to 2 billion than it is to 3 billion. But for the sake of clarity, and the mathematical practice of rounding up, let's just say that 2.292 billion is almost 2.3 billion, not 3 billion. And for simplicity's sake, let's use the 2.3 billion dollar figure from here on out, shall we? Okay, now that we've cleared that up let's try and define what this figure represents...
As I understand it there are approximately 73,000,000 Americans (American members?) currently on the internet (network?) -that's 73 million, and it's closer to 70 than it is to 200 million, btw. Seeing as how the average car requires about 30 to 50 dollars to fill up (I'm a little unclear here as to whether these average cars are generally on empty, or, whether they have some "average" amount of gas in 'em when folks fill them up? I'm also a bit unclear about the other relevant factors involved in calculating these particular numbers, but anyway...), if all users were to not go to the pump on May 15th (that's today) it is suggested that the aforementioned 2.3 billion dollars would be removed from the oil companies pockets for just one day. This suggestion is followed by an appeal to: "please do not go to the gas station on May 15th." Okay, are we clear about the 2.3 billion dollar figure? Good.
Now, besides the fact that the "oil companies" are not the only entities involved in the sale and distribution of gasoline, I get the feeling that the person/persons who worked up these numbers think that the 2.3 billion dollars is all profit...to the pockets of the oil companies? But seriously folks: "when demand exceeds supply, prices go high; when supply and demand meet, prices are sweet." I thought of that all by my little self. Nonetheless, my version of the email message (I did mention that this was a request via email didn't I?) is concluded with these words:
"If you agree (which I can't see why you wouldn't) resend this to all of your contact list. With it saying, ''Don't pump gas on May 15th."
Well, I don't agree. And I've alluded to a couple of my reasons why. I thought it'd be an interesting exercise (and we might even learn something) for us to engage this topic. If you agree (and I can't see why you wouldn't) post a comment.
-DW
Showing posts with label Gas Prices. Show all posts
Showing posts with label Gas Prices. Show all posts
Tuesday, May 15, 2007
Friday, April 28, 2006
I feel like I'm taking crazy pills
Will Ferrell said this in the 2001 comedy "Zoolander." For those of you not in the know, Will was playing a fashion mogul plotting against the PM of Malaysia (stay with me). Ben Stiller was this airheaded male model who had multiple "looks" - except they were the same pout every time. An exasperated Will finally loses it at the end, shouting at the people around him, did they not realize this? And that, yes, he felt like he was taking crazy pills.
Funny in Zoolander. Not so funny with regard to the flap over the price of gas, in the event you're feeling like I am, the last sane person in a world gone mad.
It seems that both Democrats and Republicans are both falling all over themselves to denounce something as American as... making a profit. Yes, imagine that! So the chorus in Washington (did I mention this is an election year?) is that Big Oil is bad, they're apparently somehow "gouging" people, and that Congress must do something about it. I would respectfully ask that if they must do something, it might be 1) take a long vacation, 2) consider spinal-implant surgery, or 3) take a class in economics.
Funny thing about the price of oil - it's awfully hard to manipulate it. Years ago OPEC nations decided to collude on the price of oil, in an attempt to maximize profits. To do so, they had to agree on production quotas - simply put, hold supply down, and even unchanged demand will cause prices to rise. Problem was, with increasing prices per barrel, producers cheated and produced more barrels (thinking they were the only ones doing that). With supply increasing, prices naturally came down, despite the cartel's best efforts.
Here's the deal. Gas prices are related to oil prices. Oil prices are determined by global supply and global demand. As global demand increases (think China and India), oil prices are going to go up. So will gas prices.
But so will production. Exxon made billions in profit last year, but also invested billions in exploration and R&D. They're in the business of finding, refining and selling oil products. That they're really good at it is no reason to get hysterical, and all of those spinally-challenged mouthpieces in Washington ought to be ashamed of themselves. That they think so little of the American people ought to be reason enough to throw the bums out.
That this is also coming from Republicans is another reason why I no longer identify myself as such. To anyone who might agree with what I'm saying, consider defining yourself thusly: I am a conservative. Say it with me. There, doesn't that feel better?
Funny in Zoolander. Not so funny with regard to the flap over the price of gas, in the event you're feeling like I am, the last sane person in a world gone mad.
It seems that both Democrats and Republicans are both falling all over themselves to denounce something as American as... making a profit. Yes, imagine that! So the chorus in Washington (did I mention this is an election year?) is that Big Oil is bad, they're apparently somehow "gouging" people, and that Congress must do something about it. I would respectfully ask that if they must do something, it might be 1) take a long vacation, 2) consider spinal-implant surgery, or 3) take a class in economics.
Funny thing about the price of oil - it's awfully hard to manipulate it. Years ago OPEC nations decided to collude on the price of oil, in an attempt to maximize profits. To do so, they had to agree on production quotas - simply put, hold supply down, and even unchanged demand will cause prices to rise. Problem was, with increasing prices per barrel, producers cheated and produced more barrels (thinking they were the only ones doing that). With supply increasing, prices naturally came down, despite the cartel's best efforts.
Here's the deal. Gas prices are related to oil prices. Oil prices are determined by global supply and global demand. As global demand increases (think China and India), oil prices are going to go up. So will gas prices.
But so will production. Exxon made billions in profit last year, but also invested billions in exploration and R&D. They're in the business of finding, refining and selling oil products. That they're really good at it is no reason to get hysterical, and all of those spinally-challenged mouthpieces in Washington ought to be ashamed of themselves. That they think so little of the American people ought to be reason enough to throw the bums out.
That this is also coming from Republicans is another reason why I no longer identify myself as such. To anyone who might agree with what I'm saying, consider defining yourself thusly: I am a conservative. Say it with me. There, doesn't that feel better?
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