[Thane_Banquo]

What other plausible explanation is there for the decline from 42.4 MGD in July 2011 to 30.9 MGD in November 2011 other than a dramatic decline in discretionary driving? That 27% drop in a few months in unprecedented, except in times of war or sharp economic contraction, i.e. recession.

This is bad economics. A decrease in quantity consumed that occurs at the same time as an increase in prices (gas prices have risen), is easily attributable to a decrease in supply. I.E. the supply curve has moved up and to the left:

Simple undergraduate economics, really.

[Eureka_Lead]

Oh that is a fantasic and accurate tag line

BTW.. it did not inclusive (reasons of size) Because we are run by crap socialist economics.

EL

[Eureka_Lead]

Oh that is a fantastic and accurate tag line

BTW.. it did not inclusive (reasons of size) Because we are run by crap socialist economics.

EL

[RobbyS]

Don’t confuse people with the facts! ;-)

[meatloaf]

While there may be some overall decrease in supply, we’re exporting more gasoline than ever. The same drop in demand happened during and after the oil embargo in the 70’s.

[WKUHilltopper]

It’s amazing how little people understand this. Especially in the MSM.

[UCANSEE2]

A decrease in quantity consumed that occurs at the same time as an increase in prices (gas prices have risen), is easily attributable to a decrease in supply.

Is there a decrease in supply?

[Uncle Miltie]

Also, Demand is Global, so when Chinese and Indian people get their first motorcycle or car, they contribute to total global Demand, shifting that curf up and right.

That’s a price increase based on a Demand increase, even if the U.S. consumes less.

[conservatism_IS_compassion]

A decrease in quantity consumed that occurs at the same time as an increase in prices (gas prices have risen), is easily attributable to a decrease in supply. I.E. the supply curve has moved up and to the left:

Japan has just about all of their nukes shut down post-earthquake and has to buy oil to make up for much of the lost electrical generation capacity.

11 posted on April 3, 2012 11:01:33 AM EDT by dirtboy

Maybe, globally, the demand didn’t drop . . .

[kiryandil]

Buying gasoline is not all that optional in the United States - it's not flexible demand.

In Europe, perhaps, but they don't have to deal with the distances that most American commuters must deal with.

[Almondjoy]

No no.. please don't correct them on facts. It has nothing to do with refineries closing. It has nothing to do with a global gasoline market that has us sending millions of gallons to other countries.

Gasoline has become as much of a global market as Oil itself.