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Author	Topic: What do you think is the key factor in the increase in gasoline prices?	Post a Reply Back to Topics

LKnight598 All-Star Author South Carolina Posts:823 Points:189,640 Joined:Nov 2005	Message Posted: Feb 22, 2013 10:22:12 AM Ignore LKnight598 Report Abuse It's a complicated topic and there's not a simple answer. I think it's a combination of many factors. While I suppose the speculators can bear some of the responsibility. In my opinion, I think there are several other factors to consider. Opening the market by granting more exploration by approving more permits would help. Relaxation of many regulations, but not to the point of harming the enviorment, but exploring in a responsible manner. Getting a handle on the debt, that seems to have an effect on the value of the dollar could be a major factor. Our dollop just doesn't buy would it did a year ago. All that being said, investment in positive methods of increasing production could certainly be a consideration. If fracting is so bad, then invest in methods of doing it that will be safer and more efficient. While I do see a need for investment in alternative means of energy, we simply can't ignore investment in to our major means of energy NOW. Look at cleaner, coal, gasoline, diesel and other energy resources we have now. Greene energy is great, but it's not going to reduce what you pay at the pump anytime soon or not anytime in the immediate future! Not everyone can afford to spend the money for a more fuel efficient car every few years. Just my thoughts...what do you think? [Edited by: LKnight598 at 2/22/2013 10:28:53 AM EST]

LKnight598

All-Star Author
South Carolina

Posts:823
Points:189,640
Joined:Nov 2005

Message Posted: Feb 22, 2013 10:22:12 AM

Ignore LKnight598 Report Abuse

It's a complicated topic and there's not a simple answer. I think it's a combination of many factors. While I suppose the speculators can bear some of the responsibility.

In my opinion, I think there are several other factors to consider. Opening the market by granting more exploration by approving more permits would help. Relaxation of many regulations, but not to the point of harming the enviorment, but exploring in a responsible manner. Getting a handle on the debt, that seems to have an effect on the value of the dollar could be a major factor. Our dollop just doesn't buy would it did a year ago. All that being said, investment in positive methods of increasing production could certainly be a consideration. If fracting is so bad, then invest in methods of doing it that will be safer and more efficient.

While I do see a need for investment in alternative means of energy, we simply can't ignore investment in to our major means of energy NOW. Look at cleaner, coal, gasoline, diesel and other energy resources we have now. Greene energy is great, but it's not going to reduce what you pay at the pump anytime soon or not anytime in the immediate future! Not everyone can afford to spend the money for a more fuel efficient car every few years. Just my thoughts...what do you think?

[Edited by: LKnight598 at 2/22/2013 10:28:53 AM EST]

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RoyinForest Rookie Author Ontario Posts:1 Points:120 Joined:Mar 2013	Message Posted: Mar 17, 2013 9:55:53 PM Ignore RoyinForest Report Abuse First let me declare up front that I am in Canada and cannot speak for the US market. It may, or may not, have the same causes. But here's my nickel's worth on the root cause of high (out of control) gas prices: "It is nobody's best interest to have cheaper gas". Let me explain. Gas is a commodity that is essential to our way of life. We live, and work, and travel in an expansive country where distances are great. Prices are "controlled" by a raft of different bodies, government (taxes), businesses (profit), vested interests (exploration, lobbyists, etc) None of the above are harmed by higher gas prices. Taxes are either fixed (per litre) or a percentage. They are passed on directly to the end consumer. Profits are hidden, disguised, or made so complex to render determination difficult. And in the end they too, are passed directly to the end consumer. So who then, gets helped by lower prices. Only the end consumer, who has no say in the cost. Government get more $ as prices rise, but gets NO blame for it. Businesses get more $ as prices rise, but get NO blame for it. Everyone up the food chain is free to pass the buck (pun intended) up to the next level. and they DO. What we need is a way to make these various price components sensitive to the need to manage, control and REDUCE prices. We have had politicians campaign (and get elected) on a platform of "watching gas prices". We need to make them accountable for reducing them. We have businesses that are not in competition with each other for price, but for market share. So the question is not one of "how to reduce" prices (since as end consumers we don't control them), but "how to make those who DO control price, want to reduce them". End consumers feel the pain at the pumps. Where do the governments and businesses feel the pain?
mandydonnaprinc Champion Author Hamilton Posts:4,035 Points:1,942,400 Joined:Sep 2006	Message Posted: Mar 4, 2013 6:26:31 AM Ignore mandydonnaprinc Report Abuse greed
gas_phil Champion Author Sacramento Posts:1,607 Points:128,690 Joined:Aug 2012	Message Posted: Mar 1, 2013 1:57:52 PM Ignore gas_phil Report Abuse Gas distributor exec wants to buy a new fleet of luxury cars for his/her employees!!
wbacon Champion Author Philadelphia Posts:13,430 Points:2,986,185 Joined:Jun 2004	Message Posted: Mar 1, 2013 12:23:13 PM Ignore wbacon Report Abuse the so called "Environmental movement" lackeys of OPEC.
gasguy61 Rookie Author Edmonton Posts:26 Points:362,245 Joined:Mar 2011	Message Posted: Feb 28, 2013 11:28:48 AM Ignore gasguy61 Report Abuse greed of the oil companies to make multi billion dollar profits
bluenvoy Champion Author Nashville Posts:14,992 Points:1,878,840 Joined:Oct 2005	Message Posted: Feb 28, 2013 8:42:45 AM Ignore bluenvoy Report Abuse The Government this time.
WES03 Champion Author Maryland Posts:4,859 Points:1,267,245 Joined:Feb 2009	Message Posted: Feb 28, 2013 8:26:29 AM Ignore WES03 Report Abuse The populace being willing and able to pay.
jason54915 Champion Author Appleton Posts:11,741 Points:2,611,270 Joined:May 2004	Message Posted: Feb 28, 2013 8:06:27 AM Ignore jason54915 Report Abuse GREED!
valby Champion Author Massachusetts Posts:2,926 Points:430,090 Joined:Jan 2005	Message Posted: Feb 28, 2013 8:02:02 AM Ignore valby Report Abuse Corporate greed and speculators.
kjSC Champion Author South Carolina Posts:3,377 Points:681,375 Joined:Apr 2011	Message Posted: Feb 28, 2013 8:00:02 AM Ignore kjSC Report Abuse Lack of refinery capacity coupled with damn speculators.
Boyrr Champion Author Allentown Posts:15,191 Points:3,166,580 Joined:May 2004	Message Posted: Feb 28, 2013 6:53:28 AM Ignore Boyrr Report Abuse greed
mandydonnaprinc Champion Author Hamilton Posts:4,035 Points:1,942,400 Joined:Sep 2006	Message Posted: Feb 28, 2013 6:27:33 AM Ignore mandydonnaprinc Report Abuse greed
the1roadhog Champion Author Atlanta Posts:9,913 Points:2,058,530 Joined:Jun 2007	Message Posted: Feb 27, 2013 7:36:46 AM Ignore the1roadhog Report Abuse Government greed
jack4141 Champion Author Alabama Posts:2,995 Points:696,530 Joined:Mar 2011	Message Posted: Feb 27, 2013 7:36:32 AM Ignore jack4141 Report Abuse Bozo
mandydonnaprinc Champion Author Hamilton Posts:4,035 Points:1,942,400 Joined:Sep 2006	Message Posted: Feb 27, 2013 7:27:36 AM Ignore mandydonnaprinc Report Abuse greed
coffeerage Champion Author Las Vegas Posts:1,608 Points:250,000 Joined:Oct 2005	Message Posted: Feb 26, 2013 8:58:40 PM Ignore coffeerage Report Abuse Obama and his clean energy pals stifling production of oil, coal, and blocking Keystone pipeline.
down2fumes All-Star Author Jacksonville Posts:737 Points:178,105 Joined:Aug 2012	Message Posted: Feb 26, 2013 6:31:59 PM Ignore down2fumes Report Abuse greed
badger2 Champion Author Boise Posts:1,170 Points:242,420 Joined:Apr 2007	Message Posted: Feb 26, 2013 6:26:06 PM Ignore badger2 Report Abuse Speculators and speculators!
DimWit9898 Rookie Author Detroit Posts:1 Points:7,070 Joined:Jun 2012	Message Posted: Feb 26, 2013 4:16:47 PM Ignore DimWit9898 Report Abuse Got a GasBud price hike alert the other day, but with no explanation of the reason behind the hike? Could it have been an approaching snowstorm to the Detroit area?
NickoliMB Champion Author Manitoba Posts:2,518 Points:473,205 Joined:Dec 2011	Message Posted: Feb 26, 2013 3:42:07 PM Ignore NickoliMB Report Abuse Speculation and Corporate greed.Look for every way possible to elevate prices.
grampi47 Champion Author Illinois Posts:5,939 Points:78,865 Joined:Apr 2006	Message Posted: Feb 26, 2013 2:44:21 PM Ignore grampi47 Report Abuse Yep, more and more refined product is produced, and more and more is exported, keeping our prices as high as ever. I say they shouldn't be allowed to export until our prices come down to a reasonable level first...I'm talking about $1 to $1.50 a gallon less than they are now...
Sporttster Rookie Author Indiana Posts:83 Points:18,765 Joined:Jun 2011	Message Posted: Feb 26, 2013 2:36:29 PM Ignore Sporttster Report Abuse Greed, pure and simple. More and more oil is coming online daily. We're "supposed" to be heading towards oil independence but it won't matter one bit. We can pump 10 times the amount needed but they'll just bid it up further regardless, this is why pumping more isn't helping us one bit. OUR oil should be priced by OUR standard, WTI, NOT by Brent, but guess what....it's being priced by Brent. Why? Greed.
DoctorV Champion Author Detroit Posts:1,072 Points:204,610 Joined:Aug 2008	Message Posted: Feb 26, 2013 2:26:14 PM Ignore DoctorV Report Abuse Demand.
grampi47 Champion Author Illinois Posts:5,939 Points:78,865 Joined:Apr 2006	Message Posted: Feb 26, 2013 1:33:56 PM Ignore grampi47 Report Abuse "2 big referniers were down at the same time. fire at one, mantanince at the other one. back on line fri at a slow pace for 10 days." Two refineries being down is hardly justification for gas prices to go up 20% nationwide over a month. That's nothing but pure profiteering...
dangasman Champion Author Michigan Posts:3,032 Points:1,666,420 Joined:Oct 2006	Message Posted: Feb 26, 2013 12:45:43 PM Ignore dangasman Report Abuse 2 big referniers were down at the same time. fire at one, mantanince at the other one. back on line fri at a slow pace for 10 days.
Maintroll Champion Author Lexington Posts:8,649 Points:1,706,060 Joined:Aug 2008	Message Posted: Feb 26, 2013 10:16:14 AM Ignore Maintroll Report Abuse It is not complicated, it is simply speculators, greed and investors causing this unnecessay spike in gas prices.
cogas1 Veteran Author Colorado Posts:409 Points:334,965 Joined:Mar 2012	Message Posted: Feb 26, 2013 9:48:35 AM Ignore cogas1 Report Abuse a gov't with an agenda.
kjSC Champion Author South Carolina Posts:3,377 Points:681,375 Joined:Apr 2011	Message Posted: Feb 26, 2013 7:57:39 AM Ignore kjSC Report Abuse Lack of refineries.
mandydonnaprinc Champion Author Hamilton Posts:4,035 Points:1,942,400 Joined:Sep 2006	Message Posted: Feb 26, 2013 7:47:32 AM Ignore mandydonnaprinc Report Abuse greed
tpinilla Rookie Author Atlanta Posts:39 Points:6,295 Joined:Jan 2012	Message Posted: Feb 24, 2013 8:36:12 PM Ignore tpinilla Report Abuse CEO desire to buy new vacation home...
wbacon Champion Author Philadelphia Posts:13,430 Points:2,986,185 Joined:Jun 2004	Message Posted: Feb 24, 2013 5:12:20 AM Ignore wbacon Report Abuse opec greed and their paid off lackeys in the United states, the so called "Environnmental movement" suppressing competion from the united states with their phony environments "FEARS"
vulcan96 Champion Author Ohio Posts:26,940 Points:3,106,600 Joined:Aug 2004	Message Posted: Feb 24, 2013 4:45:04 AM Ignore vulcan96 Report Abuse excesive manipulation/greed
Buddy2264 Champion Author Tampa Posts:11,669 Points:2,362,895 Joined:Oct 2005	Message Posted: Feb 23, 2013 11:47:56 PM Ignore Buddy2264 Report Abuse Greed, and exports of finished fuels since we cannot export imported and US oil. The more we drill and pump in the US the more that is going to be exported.
paullypuiu Veteran Author Georgia Posts:263 Points:91,370 Joined:Jul 2012	Message Posted: Feb 23, 2013 11:07:10 PM Ignore paullypuiu Report Abuse The green party.
anapeg Champion Author Ontario Posts:1,094 Points:53,505 Joined:May 2007	Message Posted: Feb 23, 2013 9:09:20 PM Ignore anapeg Report Abuse Greed, supply and demand. You want them to supply they will demand the maximum they believe you and I will pay to fuel their greed.
weddy11 Champion Author Phoenix Posts:1,753 Points:434,775 Joined:Dec 2011	Message Posted: Feb 23, 2013 4:57:06 PM Ignore weddy11 Report Abuse Greed
CHEAPERDREAMS Champion Author Nevada Posts:1,019 Points:71,485 Joined:Aug 2005	Message Posted: Feb 23, 2013 4:09:18 PM Ignore CHEAPERDREAMS Report Abuse There are a few things not contributing to the rise in gas price. We have a glut of crude in the US, right now. The current days of supply for gasoline are at the high side of 5 year average. Here are the most contributing factors. Exporting oil and gas for higher dollars. Reduced refinery utilization. An infrastructure of delivery that has not been upgradeded in 25 years. By the way refinery utilization has decreased by 5% since the first of the year. This creates a false sortage on the market and the speculators just jump on the chance to run prices up.
siphoned Rookie Author Vancouver Posts:13 Points:519,710 Joined:Jul 2008	Message Posted: Feb 23, 2013 3:46:21 PM Ignore siphoned Report Abuse I asked some of the station attendants, and they have no clue why prices wildly fluctuate, typically daily. I suggest it is about greed and profits.
fire025 Veteran Author Michigan Posts:489 Points:585,475 Joined:Dec 2010	Message Posted: Feb 23, 2013 3:20:48 PM Ignore fire025 Report Abuse Speculation & Greed
Hanski All-Star Author Modesto Posts:524 Points:189,785 Joined:Mar 2010	Message Posted: Feb 23, 2013 2:30:24 PM Ignore Hanski Report Abuse speculation
MertieMan Champion Author Lexington Posts:14,803 Points:2,898,535 Joined:May 2005	Message Posted: Feb 23, 2013 8:27:13 AM Ignore MertieMan Report Abuse The real reason is the oil industry still has no competition and they can charge what they want, anytime they want. These crooks will continually steal from us as long as our useless government stands by and lets them do so. Boycotts and other actions have literally no effect on these culprits. I noticed three stations just this week one day go to $3.89 plus per gallon and in less than 24 hours were back to $3.74 plus per gallon. This is gouging and legal stealing at its finest, but is anyone doing anything about it, NO!
Dennis783 Champion Author Des Moines Posts:13,609 Points:2,706,060 Joined:Sep 2005	Message Posted: Feb 23, 2013 8:20:23 AM Ignore Dennis783 Report Abuse politicians and a prez who don't realize or care that artificially high gas prices are killing the economy
gas_phil Champion Author Sacramento Posts:1,607 Points:128,690 Joined:Aug 2012	Message Posted: Feb 23, 2013 1:40:43 AM Ignore gas_phil Report Abuse Gas station owner wants to buy a yatch. Gas company exec wants to buy a jet. :)
FocusFree Veteran Author Ottawa Posts:471 Points:987,490 Joined:Dec 2009	Message Posted: Feb 22, 2013 11:25:30 PM Ignore FocusFree Report Abuse Speculation and manufactured fear followed by manipulation by the producers...i.e. shutting down refineries to keep supplies tight
wbacon Champion Author Philadelphia Posts:13,430 Points:2,986,185 Joined:Jun 2004	Message Posted: Feb 22, 2013 4:56:38 PM Ignore wbacon Report Abuse THE SO CALLED "environmental movement"
LeeLavergne All-Star Author Texas Posts:569 Points:125,725 Joined:Jan 2013	Message Posted: Feb 22, 2013 2:43:17 PM Ignore LeeLavergne Report Abuse speculation
PithyOpiner Champion Author Stockton Posts:16,220 Points:1,599,495 Joined:Jun 2008	Message Posted: Feb 22, 2013 1:41:40 PM Ignore PithyOpiner Report Abuse The American public and their insatiable need for gasoline and their love of the automobile.
BartandLisa Champion Author Newfoundland Posts:2,155 Points:421,350 Joined:Feb 2012	Message Posted: Feb 22, 2013 11:35:05 AM Ignore BartandLisa Report Abuse Futures price speculators and government disregard for an essential public commodity
GrumpyCat Champion Author Alabama Posts:2,624 Points:791,735 Joined:Jun 2009	Message Posted: Feb 22, 2013 11:33:37 AM Ignore GrumpyCat Report Abuse Why shouldn't prices rise when you don't cut consumption when prices rise? If you continue to buy then the price has not yet exceeded the value you receive. Higher prices stimulate others to invest and compete for your easy money. But when government restricts opportunities to enter the market the only result is higher prices. Without government restrictions preventing others from entering the market an oversupply situation will occur driving prices down and those who can not survive in production on the lower prices will leave. Just as those who do not receive value at the current price should leave.
OceanArcher Champion Author Mississippi Posts:5,723 Points:1,331,300 Joined:May 2004	Message Posted: Feb 22, 2013 10:25:34 AM Ignore OceanArcher Report Abuse The key factor ?? Greed and speculation ...