In the aftermath of Hurricane Katrina, gas prices have soared at many locations. In Katrina's path of ruins, prices have risen almost a dollar overnight! Posted on 09/01/2005 9:12:07 AM PDT by blueberry12
In the aftermath of Hurricane Katrina, gas prices have soared at many locations. In Katrina's path of ruins, prices have risen almost a dollar overnight!
Recently in Atalnta, one gas station was asking 5.36 for a gallon of regular unleaded! Premium was selling for more than 6 dollars a gallon!!!
They did this, because GAS SHIPMENTS WERE DELAYED and a lot of people wanted gas. Had they sold a gallon for 2.70, they would have run out almost immediately. But because they raised the price, everyone who desperately needs gas will be able to buy a little.
However, people are furious over these prices in Atlanta, and chances are they are going to make a law that prohibits price gouging just like the law here in Florida which prohibits anyone from charging more than 10% during times of desperate need.
Before every major hurricane, long lines are standing at the gas stations, and soon, gas stations close as they run out of fuel one by one throughout the area. As soon as people spot a hurricane or tropical storm coming toward the Gulf of Mexico, they raid the gas stations. And some people who are late, can't get any gas.
I think the Atlanta gas station didn't do any wrong by raising the price; because as a result of higher prices, people did not raid the gas station, thus fuel was sold EXCLUSIVELY to those who needed it the most.
But unfortunately, this sort of logic is not common in America. All I hear from everyone is that this is cheating.
But I think it is not cheating at all. People should have the right to offer their properties and belongings for sale at ANY PRICE. And since we are talking about gas stations, their owners should be allowed to charge whatever amount they want to charge. If they want to charge 10 dollars for a gallon, then they should have the right to do it, because the fuel is their property.
But I have heard bad language and fury even in the radio. They said this gas station owner is cheating -- he is a thief, a crook, etc... Even some of my friends had bad comments. I just cannot understand these people.
They are not realizing that they are building the foundation for communism and tearing down capitalism by calling the gas station owner a theif.
How come a gas station owner has no right to sell his goods for whatever he wants to charge? This is insane.
I wouldn't care if a gas station decided to sell gas for $1000/gallon here in Pensacola. It wouldn't bother my at all. We would travel a mile and buy gas somewhere else! We would even travel 100 miles and buy gas in an another state if we had to. But who loses? Certainly not we. The only one who loses is the gas station that tries to sell gas way above the market value. They would have two options: Lower the price and charge the same what others charge, or keep the high price. If they hold on to the high price, they won't be able to sell the gas, and they will go out of business. So, they only hurt themselves by keeping the high price.
Higher gas prices which we call "price gouging" is really not a dirty business. It is a normal thing that happens in a free market. The advantage of higher prices is long-lasting supply. The disadvantage of price controls and prohibition of price gouging is empty gas stations.
We have felt the disadvantages of price controls first hand when Hurricane Dennis came to Pensacola. We did not buy gas soon enough, and both of our cars were empty when the hurricane hit. We had to make a business trip somewhere, and we had to postpone it, because we didn't have any gas. Back in those days, the price of gas was 2.31, and there were mile-long lines at the gas stations. None of the gas stations had gas in the city.
We wouldn't have been able to leave town even if we wanted to.
There is a category 5 hurricane in the Atlantic Ocean which is called Communism. The entire earth is covered with ruins, because of it. This storm never dies, and the news doesn't talk about it. We got used to it, I guess. But it's coming toward the US VERY SLOWLY but steadily.
I wish...
boy do I wish that gouging was the biggest problem
Economics 101. Supply and demand.
Call your local rep and tell them we need more refineries and reduced EPA stumbling blocks on our backs.
While there are upward pressures on the cost of refined products, the price of crude is nothing but pure greed. Even the Saudis are admitting (amazingly) that the price is synthetically too high. (while they laugh all the way to the bank...)
If you find a station engaging in price gouging, you can report it at the following website.
http://gaswatch.energy.gov/
"thus fuel was sold EXCLUSIVELY to those who needed it the most."
You mean those who had the most money.
Someone will have to do just what my sigline says on this thread. Probably in under an hour or so.
How about the government gouging too much on taxes for gas?
Think they'd respond to that?
Yet these same people will go apesh!t if they seem gas rise from 2.75 to 4.00.
If these people were taught half as much about basic economics as they are about condoms this idiotic "gouging" talk wouldn't be polluting our national discourse.
Wrong.
You mean those who had the most money.
In America, anybody who wants to earn a dollar can earn a dollar. He who does not have money does not have money because he does not want to have money, because he does not need money.
People seem pretty sanguine in Pennsylvania. I filled up yesterday for $2.84 a gallon. Highest price I've seen anywhere is $2.99. I asked the attendant if he was seeing any supply shortages or customer panic, and he just laughed. It's unfortunate that so many people panic on rumors - they are creating a shortage that otherwise wouldn't have occurred. I don't know how you stop people from being stupid.
EXACTLY.
Don`t kid yourself,they did this to achieve a greater profit.That is fine,but they should be ready to face the repercussions of long term loss of business.
If they for lack of a better term "get away with it" than good for them,I guess but don`t pretend there was any altruism involved here,just finding out what the market will bear.
Everyone make your own conclusions as to the ethics.
My thoughts exactly. Thank you!
I wonder how this will hurt the people who really need gas as a result of Katrina.
Thanks for posting the link to gaswatch. I just reported our local Safeway for raising their price by 16 cents in less than two hours. And the nearby stations were still holding their prices down.
I will no longer patronize Safeway.
I rejoice when I see "gouging". It ensures that people are limiting their consumption to their required usage and it ensures any non-necessary resource can be diverted to the disaster area.
Threatening prosecution of "price gouging" only means that the disaster is prolonged beyond what time is needed to get back to normal.
I thought those in America didn't have money because they already spent what they did have. And believe me, those with the least are of course hurt the worst by these outrageous prices. Is being poor a crime or cause for shame in this country now? Many people have jobs, work very hard but just don't make very much money. But then that's why we have public transportation, isn't it?
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