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Sarah J | Why do gas prices fluctuate so much? |
Anyone know the logic behind such drastic differences in the gas prices?
Additional Details
If its greed, then why did the price drop in half recently? Any real answers out there? Something had to happen to attribute to such a radical price drop and I just wanted to know the controlling factor. If you dont know, its cool. I dont want opinions, just the actual reasoning if anyone knows it. |
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JMayerfan87
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Gas prices fluctuate because the price of oil fluctuates.
Oil fluctuates because it's final output price depends on demand and supply (basic econ).
If supply is low, it causes oil, and in turn gas prices, to shoot up because of the scarcity trying to satisfy a huge demand. Like what happened over the summer, unrest in West African oil fields reduced the output of oil from there, in addition to technical difficulties off the coast of Scotland.
The price of gas plummeted because after the summer, people drove less, started shifting their intensive use of gas to other alternatives, like car pooling etc. In fact, people could not afford their old habits, hence a drastic decrease in demand. This caused the price of oil to fall continuously, and as the economy didn't shape up, and aggregate demand for oil didn't go up because there was simply no money to afford as much as before, this caused the price to fall to as low as $40, compared to its all time high of about $150 over the summer.
It's all basic econ, don't fool yourself into believing that oil companies live to find ways to reap you off.
No single person or company decides the price of gas. Price of gas is determined by the price of its raw material- Oil, the price of which is set by OPEC- an international body, with which the US or Exxon or any other party you think is out to get you, have no control over. |
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Chad
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Well, it's put very simple. Because our government can, they need no explanation and no reason. |
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hoggod
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nope im also curious to this... maybe its just them making money...and screwing the normal consumer off in the process |
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escape of truthfullies
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Because George Bush was in office.
He owns a share percentage in a oil company
The facts are
Gas barrels in 2001-2008 increased from $20 a barrel to $120 a barrel.
Thats basically George Bush's entire presidency.
Note to sell.
9/11 inside job by bush
katrina inside job by HAARP ordered by bush
the patriot act by bush
FEMA by bush
bush = skull and bones member
bush = freemason member
bush = grove member in San Francsco where homo activity is reported amongst our leaders
bush = related to obama, chiney, tony blair, and clinton to name a few
and much much more! |
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Luis
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supply and demand (supposelly)
or they just want to see the max and lowest price that we'll pay |
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Kyle
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the oil companies in saudi arabia want more money |
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devastation_resolution
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because the rich, greedy jerks who run the companies want more money.
:/
so i'm told... |
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criminal_fish
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because george bush is a stupid ******* moron! |
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Julian Y
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When we had a better economy, there was more gas. Now years later, there is a worse economy and less gas, strangely they're related. The better off an economy is, the more they can afford to pay for gas, so the gas companies give us a good price, so we continue to buy their gas. Also, there has been much attention toward developing non-gas using cars, and if the u.s switched to non-gas using cars, the gas companies would get less money, so when we plan for better, more advanced cars not using gas, the companies bring down prices so we forget about it. And it works!!! But as the economy stabilizes, the prices will fly up again. |
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Deidara fan
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well its a simple concept of supply and demand
o and u cant forget the f@$%ing gas companies for rigging prices to make more profit thats it |
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nakedmartian
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we live in a very dangerous world runs by big money greedy corporation with powerful politician in their pockets,because those big petroleum corporation needs to buys their gas at the lowerest possible price, then this politician create havoc and choas and wars around the world so the prices of petroleum would skyrocketed. one example would be the iraq war .......... why the hell were the us involved ? al qaeda is in agfanisan ...... AND STILL IS. JUST THINK ABOUT IT. i know i would be banned who cares? |
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hotboygotthafire
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demand war opec and millions of other reasons |
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