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To: Right Wing Assault
1st post for a long time lurker. (election 2000)

I was wondering when this "9 cents a gallon" figure was going to be brought up.

9 cents/gal profit would only be 3% profit.

And I keep hearing this 9 cents/gal repeated on all the shows.

So much for credible news reporting.
34 posted on 05/01/2006 3:56:02 AM PDT by BootJack
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To: BootJack
9 cents/gal profit would only be 3% profit.

Welcome! If you compare the 9 cents to the pump price, it's 3% of the cost but if you compare it to the cost to produce it, that's where they get the higher %. In other words, you want to compare their profits only to the cost to drill for the oil and turn it into gas. Transportation, markup for dealers, taxes, etc. should not be part of the profit equation. So while the profit might be 3% of your cost, it might be 9% of their cost.

38 posted on 05/01/2006 7:41:45 AM PDT by Right Wing Assault ("..this administration is planning a 'Right Wing Assault' on values and ideals.." - John Kerry)
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