Monday, April 03, 2006

Bend over and take it

Since I routinely drive at least 50 miles a day round trip to work, I pay very close attention to the price of oil and gasoline. The cost of gasoline has skyrocketed, going up nearly 40 cents a gallon in the last month while the cost of oil has risen, but not as much.

I REFUSE to believe the oil companies are not price gouging. I believe completely the oil companies are sticking it to us because they know their good ole oil buddies Cheney and Dubya are not going to do a damn thing about it.

I'm tired of listening to the oil company defenders claiming supply and demand. The US govt. has been stockpiling oil like crazy for years, a practice that just happens to keep the price high. Oil stockpiles in the US are at a 10 year high, while gasoline stockpiles are well above average. But as the oil companies reap huge profits (Exxon made more last year than any company in history and is now at the top of the Fortune 500 list, with profits up a staggering 42%), Dubya refuses to hear any talk of releasing some of the stockpiled gasoline to help ease prices for us everyday folks.

Too bad education doesn't have friends in high places like the oil companies.


Dan Edwards said...

You get what you pay much money did NEA, AFT, TEA, or any other teachers union "donate" to the Bush/Shotgun Dick campaign? How much did Texaco, Cheveron, Gulf, BP etc., contribute ? FOLLOW THE MONEY!

Do you have the high taxes on gasoline in TX. ? Here in California, we pay the federal tax, state gasoline tax, PLUS sales all adds up to about 50 cents per gallon.

Coach Brown said...

Can't deny that it isn't supply and demand, and it is much worse here in Northern California. But if you are willing to pay for it, why not make a profit. After all, if it really mattered to people, they would simply stop using gas. Blame the driver, not the gas company.

Smithie said...

I too am a slave to the commute and consequently gas prices decide if I eat lunch or not.
Here's a site I came across recenlty that might be of interest.

Anonymous said...

I see you didn't learn anything about economics while you did your ed degree.

Mike in Texas said...


IMHO, economics has nothing to do with it, sticking it to the consumer is what its all about.

Polski, our total taxes here in Tx are about 38 cents a gallon.

"Ms. Cornelius" said...

I predict the prices will stay up throughout the early summer driving season, and then you will see a miraculous and of course COMPLETELY COINCIDENTAL drop in gas prices in August.

Perhaps huge reserves of oil will be found in Iowa.

Perhaps Neil Bush will become preident of Venezuela after Mom funnels more money his way.

Whatever miracle occurs, it will happen. let us say, about three months before the midterm elections.

Any takers?

Mike in Texas said...

Ms. Cornelius,

I have to say I agree with you. I think we are totally being played by the oil companies with the full consent of Dubya and Dick.

Anonymous said...

Coach Brown and Squarepeg, I agree with you both. So many Americans choose a bigger house in the suburbs, thus increasing their need for oil/gas to get to/from work. As with any other industry, of course the companies are willing to meet the demand for a price.

Anonymous said...

Unfortunately for us, this is about supply and demand.

Just look at industries where gov't has gotten involved and compare the prices we pay today to 30 years ago. The price of higher education ($40,000/year at some schools!?!?) and healthcare, for example are MUCH higher today while the price of a gallon of gas is actually lower as it relates to inflation and cost of living.

Sorry, but them's the facts.

Onyx said...

It is more complicated that just supply and demand. Remember the gulf coast was hit with some major storms that did damage to oil rigs, and refineries. A lot of the cost we pay at the pump is in the form of taxes.

I have stock on some of those companies and I'm glad they are making money (it will help during retirement)

When did it become criminal to make a profit?

Anonymous said...

I feel your pain on the cost of your commute...with 4 kids, I drive a mini-van and curse every time I have to fill the tank. Having said that, I have a tough time blaming the oil companies for turning a profit...especially since so many people have pensions and/or mutual funds that include oil.