[excalibur1701]

>>Retail gas prices, meanwhile, reached a new high
>>for 2009 on Thursday and appeared headed back
>>to $2 a gallon as refiners cut back on production.

I thought we didn’t have enough refineries?

[mysterio]

I thought we didn’t have enough refineries

We don't have enough when people have jobs. But now a whole lot less people need gas to drive to work.

[Rippin]

I thought we didn’t have enough refineries?

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Correct. When the the supply curve is artifically suppressed, the producers can (extent depending on degree of course) begin to act as a market maker rather than a price taker.

[Sig Sauer P220]

Does the spending bill include an increase in the gas tax?

[El Laton Caliente]

We didn't until the price rise last summer was followed by people doing one or more of three things...

1. Bought a smaller, gas efficient car (me, a Mini Cooper)
2. Started combining trips and reduced travel
3. Lost their job and/or got in financial trouble

Demand is down 30% to 40% from a year ago...