Posted on 06/19/2008 5:16:50 PM PDT by PJ-Comix
Just a thought here. Why are there no gas lines like there were in the 1970s? Yeah, the price is going higher but the credit card charges are going higher too which is not good for the gas stations. Gas station profits of not more than about 8 cents per gallon are pretty much eaten up by the credit card charges. I understand that many gas stations have quit pumping gasoline as a result. In fact, I have seen quite a few gas stations that have been closed up recently.
Okay, with fewer gas stations why are there not more gas lines. I have seen a few gas stations where the gasoline is a bit less than average have a lot of cars but nothing like lines down the block.
Just wondering why we have seen no gas lines. Or will that be happening soon?
I’m seeing price diferentials now of up to 15 cents per gallon. When prices were lower we didn’t see such a wide spread.
I’m rationing my own gas.
I see big price differences from block to block. Sometimes I wonder why people pay $4.17 when just a few blocks away it is only $4.03.
I’m guessing that there will be gas lines at stations where the price differential gets to 20 cents less than nearby stations. People wanting to save money will wait on line. Those wanting to save time will pay more.
Isn’t the percentage to the credit card company the same regardless of the amount of the charge, or, do we have factual data that a higher percentage of sales are now credit instead of cash. I’ve been using credit long before the run-up in price.
Damned if I know. I guess their time is worth more than the 15 cents a gallon. I’ll wait behind a couple of cars to save 15 cents a gallon. Its not because 15 extra cents a gallon is going to break me. Its just the principle of it.
Yeah, but here is the deal. If a gas station tries to get 8 cents profit per gallon then at about $4.00 per gallon the profits are pretty much eaten up by the credit card charge of 2% since that would be 8 cents.
Watch what happens when the differential hits 20 cents or more. Then you will see big lines at gas stations selling the gas at the low end.
The gas line don’t start until price controls are imposed by the government. Right now there are plenty of people willing to pay the price, so although gas prices are high, supply is not lagging demand.
Once price controls are implemented by the government, since the price can no longer rise, shortages will be the inevitable result.
I guess I’d like to see their books. Are we all sure that their profit is fixed at 8 cents per gallon as opposed to some percentage markup over their wholesale cost?
There are no lines because there is no shortage of gas, especially at $4 a gallon. They’ll make all the gas you can buy if you’ll pay $4/gallon for it. There will be even more gas at $5 a gallon. No lines. No worries
IMO there is NO shortage of anything except hedge fund manipulation by NASDAQ sorts ! I remember the even / odd days , the lines , the attendants at stations with 12 ga shotguns and a limit of how much fuel we could get !
I keep my rides fueled up and garaged except when at work . Each vehicle has bed tanks or aux fuel cells and aftermarket OEM tanks that are as large as will fit and function for the vehicle.
The lines are possible as is rationing yet I still personally believe this is not a oil shortage it is speculator’s hedge fund efforts driving the costs .
Just my opinion vs anything based on fact.......:o)
Stay safe !
As a matter of fact the longer people believe speculators are th reason for high gas prices the longer it will take to fix the problem.
I didn’t say you thought so ......I said I think so..........:o)
I listened to Ben Stein talk of this at length and it made more sense to me at the time due the fact there is NO shortage and a above average profit is being made.
Stay safe !
There is no shortage because people are burning less gas. The reason is high prices. In other words the free market is working.
I am very very pro for drilling more wells increasing domestic resources and increasing energy production 100 fold in the CONUS and it’s territorial waters. This problem is not simple it is complex and confusing for even the professionals. Multiple causes with a single problem per se !
But I profess to have no expert solution nor anything less that a SWAG as too the cause. Just .......speculating !
Stay safe !
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.