Gas prices
- Thread starter efhondakid
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...and this moves away from OPEC being the primary cause, how exactly?
Have you not looked at the historical trend. Surely, the dollar is contributing to prices today, but as I said and as you seemed to have not keyed in on and completely ignored, prices were rising before the value of the dollar was declining.
Did you not look at the inflation index? Energy cost increases have not been on target with inflation, they are much further ahead of inflation.
...but, the primary cause must still be inflation, correct? Clearly this proves that the primary cause is not the buying power of currency, but rather OPEC sees the decline of the dollar in comparison to the euro and is thinking of hopping ship before its too late. OPEC's talks are a result of a decline in market conditions in the US, oil prices are not a result of a decline in the US market but rather an increase in the consumption of foreign markets while production remains earmarked and limited by OPEC.
Why oh why do I even bother trying.
***edit - Since I feel I did an ineffective job of explaining the link between oil and inflation, that many have missed, I'll explicitly spell out the situation.
I'll go so far as to say, that the increase in oil prices are directly related to a rise in inflation; this is not the sole reason for inflation but surely a core cause of inflation. Increases in energy prices are passed down the market. The reason eggs have recently shot up in price is due to an increase in manufacturing costs. Manufacturing costs have increased because of the rising price of energy that is passed onto the cost to run machinery. Example, it may have once cost $1.00 to run that industrial machinery for 10minutes, whereas it now costs $2.00 for the same activity. Manufacturers are not going to absorb this cost, they are going to build this price into the cost of goods sold and the ultimate price paid by the consumer.
Furthermore, a push to alternative energy sources has driven agriculture prices through the roof (This might be a good area to look if you're thinking of investing your money in the market). Farmers are being paid more for their corn, as demand for ethanol as an energy source increases. Therefore farmers are opting to not grow other grains, like wheat, barley, etc. and turning to producing a greater amount of corn. This drives the price of other grains higher, as the supply decreases and therefore the demand increases. Its really no wonder why our food prices are much higher.
Factor in the cost of transportation, with increased energy costs directly associated with transportation costs, and you have prices that continue to rise as the price of oil rises. This is why many companies are turning to alternative sources of transportation such as the railroad. The railroad has dedicated about $10billion worth of capital into the furtherance of the railroad system in the country over the past 5 years, with much more money earmarked over the next 5-10years.
Thats the consolidated, in a nutshell version, of *ONE* of the reasons why we're feeling the effects of inflation.
This characterizes how OPEC's potential move is a result of the increased price they have already passed onto the United States. Therefore inflation was not originally a primary cause, but as the economy works, inflation has now snowballed into the equation and is helping to drive the prices higher.
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my bike cost about $15 also, but i can't really ride in a suit.
Eh 3.xx is nothing compared to what we pay for a gallon of some other substance:
Milk $2.99
Coca-Cola $2.84
Gatorade $5.20
Evian Water $5.60
Orange Juice $6.64
Crisco Oil $7.44
Perrier Water $8.16
Snapple $10.32
Scope Mouthwash $27.20
Lemon Oil $27.22
Olive Oil $51.04
Shampoo $40.44
Real Maple Syrup $57.08
Jack Daniel's Bourbon $101.12
Visine Eye Drops $995.84
Nasacort Nasal Spray $2,615.28
Milk $2.99
Coca-Cola $2.84
Gatorade $5.20
Evian Water $5.60
Orange Juice $6.64
Crisco Oil $7.44
Perrier Water $8.16
Snapple $10.32
Scope Mouthwash $27.20
Lemon Oil $27.22
Olive Oil $51.04
Shampoo $40.44
Real Maple Syrup $57.08
Jack Daniel's Bourbon $101.12
Visine Eye Drops $995.84
Nasacort Nasal Spray $2,615.28
Celerity
Well-Known Member
everything costs. It costs me $2 a day to shower and do laundry / dishes.
It costs me $20 a month to keep my computer on all the time (I don't)
It costs me about $0.10 for a small cup of coffee from my own coffee maker. a bowl of cereal costs about 75 cents.
It used to cost me $100 a week to go to work (when I worked in NY) in gas, and then another $100 a week in trains after that fact. It now costs my friend $120 a week in GAS to drive his stupid SUV 2 towns down with no traffic to get to work.
It's the uncaring, inconsiderate soccer moms and people who somehow feel that they DESERVE a 19 mpg Mercedes or BMW M that spoil all this shit.
Eat the rich.
It costs me $20 a month to keep my computer on all the time (I don't)
It costs me about $0.10 for a small cup of coffee from my own coffee maker. a bowl of cereal costs about 75 cents.
It used to cost me $100 a week to go to work (when I worked in NY) in gas, and then another $100 a week in trains after that fact. It now costs my friend $120 a week in GAS to drive his stupid SUV 2 towns down with no traffic to get to work.
It's the uncaring, inconsiderate soccer moms and people who somehow feel that they DESERVE a 19 mpg Mercedes or BMW M that spoil all this shit.
Eat the rich.
I agree but the prices are relative compared to the whole. I bet you drink a can of soda faster than you burn the same amount in gas.
cost of a can of soda = 50 cents
cost of 12oz of gas in my area = 30.8 cents
Domi31
Member
When driving around town I notice all these women driving Suv's with no one in the car with them, what a freaking waist, you dont need a V8 to get bread from the store. Dont these people have jobs?
I also live by a K-12 school, I swear a buch of 18mpg vehicals picking up 1 freaking Kid!! Car running with the A/C so they can pick up Tyiler from school
Only way we can get prices down if we lower our demand. Going to Sadi Araba and playing dress up, and asking them to increase supply will not solve the problem in the long run.
Screw OPEC, I will do my part, no VTEC for a week.
I also live by a K-12 school, I swear a buch of 18mpg vehicals picking up 1 freaking Kid!! Car running with the A/C so they can pick up Tyiler from school
Only way we can get prices down if we lower our demand. Going to Sadi Araba and playing dress up, and asking them to increase supply will not solve the problem in the long run.
Screw OPEC, I will do my part, no VTEC for a week.
...we also don't tax gas consumption the same way we tax other commodities.
The two purposes of taxes are to 1) Generate revenue and 2) To encourage and discourage specific behaviors.
Europeans are charged so much for their gasoline, because its heavily taxed by the government to curtail consumption. The Europeans have to import nearly all of their oil supply needs, so oil has always been a hot button issue for the Europeans.
What do Americans do? Demand that politicians do not raise gasoline tax and refuse to elect any politicians, that include increased taxes on gasoline, in their energy and economic policies.
We wouldn't consume nearly so much if taxes were structured in such a way to discourage consumption.
So the rate of consumption is a moot point. Its our own damn fault that we tout cars the way we do in the United States.
100% chance for getting laid. The wife doesn't say "no"
the problem with that list is that i can live without all of it. i HAVE to have gas. i feel i'm being gouged and there is nothing i can do about it. if i don't want to pay $27/gallon for snapple, i'll drink tapwater. i can't put tapwater in my tank though. consumers are fucked and can't do shit about it.
No that is the exact point of that list. It shows what we are willing to pay for items we don't need. In comparison the price of gas is still cheap compared to what most of us spend on other items.
Domi31
Member
Except lower your consumption of gas, easier said than done.
IMO, we still not have surfferd enough, we still dont car pool, because we like driving are own autos to freaking much.
I drive 40 miles round trip to school 4 days a week, there should be some one I could car pull with but, as an american I am just not ready to give up my car.
are demand for gas is the problem
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