What are the components of the retail price of gasoline? (BUMP!!!)

KXII ^

[Mr Ramsbotham]

The next time someone starts talking about the price of gas....how about filling them in on just what they are paying before they rant about being gouged.

It does no good. People who can't program a VCR, spell the simplest words, or use an e-mail client are economics experts when it comes to gasoline prices.

[Cinnamon]

which in actuality means:

Congress is looking at raising taxes on oil consumers by 27+ percent...

fn thieves!!!!

[Conservative Coulter Fan]

Around here, we call that the curb boy blues....they know it all and can do it all.

[Political Junkie Too]

How much does it cost to produce a 30-second TV commercial? How much do networks charge for a 30-second spot during the Super Bowl? How much do networks charge politicians for endless 30-second campaign commercials every two years?

What do the networks do with that windfall profit?

-PJ

[narby]

For Exxon Mobil, I think you need to add about %0.1 percent for the CEO. That figure gets some people all worked up. But I don't really notice it after the government just raped me for 50 cents/gal.

[cmet]

Not sure where I stand on the tax augument, as this is somewhat a national sales tax. Those who use the roads.. pay for the roads! Eliminate the tax and then it would be necessary to increase other taxes. You know the government is going to get money for the road system from somewhere. If they dont, then many people will be without jobs and would be a staggering blow to the economy.

OTOH, if your position is cut off money from the government and they will waste less, then I am with you on that!

[Wristpin]

Another link showing what Californians pay

http://www.energy.ca.gov/gasoline/margins/index.html

[Blood of Tyrants]

First, the majority of oil companies do not pay anywhere near the market for oil because they pump the stuff out of the ground, pay the federal government a small royalty and then refine it themselves. Some companies import more than they pump out of the ground, some import very little.

Truthfully, the less a company has to buy at market spot prices, the higher thier profit. Their record profits come from raising their prices to match the market, even if their true average cost was about $35 a barrel.

No matter hou you put it, they are screwing us.

[Blood of Tyrants]

Same, just add $1.44 to the profit side. See my post above.

[r-q-tek86]

ping

[Gondring]

It cost less than $20 to produce a barrel of crude.

Source? And what are you including in your use of the term "production"?

[Gondring]

Recoverable...at what price?

[eastforker]

Just google, do not have time, known worled wide

[be4everfree]

So, does this mean the the real cost lies somewhere in between the cost of production and the spot market ?

Pump crude at $34 and sell it on the spot market for $70 ?

And it's different for each oil co. ?

Who's paying $70 ?

Are there any figures for how the increase in demand has forced more and more producers to the spot market ?

Is production up or down ?

Seems that the non-producers have obtained buyers willing to pay spot prices plus. (a riskless transaction)

As opposed to the risk of the exploration, production and delivery co's.

I remember when Dell Computer made more money in one particular quarter, (sometime in 1990 or 91) hedging foreign currencies than they did selling PC's.

Food for thought.

[be4everfree]

It cost less than $20 to produce a barrel of crude.

This is true, after the cost of exploration and setup for drilling and getting the oil in a tanker or pipeline.

[Gondring]

Google doesn't tell me what definition you were using. US Offshore finding costs have skyrocketed in recent years, for example. The profit margins of crude production are large, but I was asking about your specifics.

But I definitely understand lacking time for a response! No problem.

[Gondring]

And it will be interesting to see if the halt to SPR deliveries will reverse the speculator-driven climb.