Higher gas prices are pretty much the norm these days. But wait let’s call the oil executives into congress and what happens to gas prices that very same day? Down 10 cents! Amazing.
I strongly believe in the market forces of supply and demand (for a normal competitive market). However, it is blatantly obvious even to the most casual of observers that if the price of gas is sky high and the oil companies are making record profits then the normal market forces are not working or they are being manipulated.
In this case, the oil companies have an oligopoly and must be manipulating the price to make record profits. How do I know this? Because their efficiency or productivity or technology have not increased enough to support record profits.
I have no problems with a business making a respectable profit, but it is clear to us, these companies are stealing from the people and it needs to stop. Many of the gas stations have signs up stating that their gas may have up to x% of ethanol in it. Great, but why is your price still the same as everyone else’s? Isn’t the use of ethanol supposed to wean us from foreign oil while reducing cost?
I think there are still some bugs to work out in the system. I am sure Hillary, John or Barack can come up with a solution to save us from this mess! But I won't hold my breath.