[businessprofessor]

It is not a matter of absorbing a loss. It is a matter of a severe decrease in supply. Demand must be curtailed because there is not enough gasoline. If you control the price, you must have rationing. But rationing and price controls will lead to black markets. The price would not be spiking unless there was a severe supply disruption. Rationing may be preferred in the short run. There had better be mechanism to enforce rationing or a black market will develop.

[wolfcreek]

There have been black markets in my area just due to the high price. People stealing gas who have a regular costumer base. People stealing farm diesel from irrigation systems.

Fact is, you're gonna have black markets to some extent.

When we hear about the gloom and doom possibilities every time a storm develops, you start thinking it's a ruse.