I know which is why I laid out the difference between the president's additive moratotuim and the governor's gas moratoruim. Also, I was AGREEING with you that we need more refineries, just pointing out for everyone (for the 100th time) that more refineries will fix the problem 5 years from now, not now.
>So I have a tanker of gas to sell, in Mississippi I can get $2.50 a gallon, in Georgia I can get $2.20 a gallon. Choices choices.<
Dropping state taxes will neither increase or decrease supply.It may marginaly lower the pressure higher prices were putting on demand.Their is enough price competition in the Atlanta market to assured it will result in a corresponding price reduction.
You sell it to the highest bidder on one of the commodity exchanges.
NYMEX unleaded for October 05 delivery was $2.1837 (down $0.2253).
For January 06 delivery it was $1.9287 (down $0.652).
The NYMEX wholesale trader doesn't care what your state gasoline taxes are, although you probably should.
Yesterday it peaked at $2.45 for October delivery.
Let's estimate what pump price that implies. Take $2.45, add the state gas tax ($0.075), the Federal gas tax ($0.184), mark it up 10% for transportation, credit card charges, and profit, add the state sales tax (6%), and this morning's pump price should be (drum roll)....
No less than $3.16 per gallon.....