Another gas price thread

Russ is right if you look at inflation on the % from a gallon of milk to a gallon of gas same time span milk has gone up more in price before gas has.

Originally posted by Russ-D



Originally posted by thedurtyone



it will take a nation wide trucker strike to even make a lil bit of difference...a oil company man told my dad a few yrs ago if every truck stopped rollin for 3days it would take over 6 months to re-cooperate from the blow

no, thats an old wives tale. the truth is that gasoline is an "inelastic good" which means there arent many substitues, so no matter how high the price gets, people will continue to buy. The realtruth is that truckers would need to work long before the price of gas would ever come down, and it probably wouldnt come down anyway, so a trucker strike would just create a shortage of OTHER goods that are elastic in demand (many substitues) and money would shift from delivered goods to on hand goods.

the other truth is that we have been spoiled with low gas prices for years and years and years, decades really. Adjusting for inflation, the price hasnt increased much since the 70's (not counting the oil crisis). In europe, like the UK, gas has been over 5 dollars a gallon for years and years.

if you were thinking about buying a seconhand fuel efficient car, now is the time. Buying one new would just be shifting your money from low mpg to a high car payment, so buy 10+ years old and pay cash.



this is no wives tale...if the truckers wouldn't haul for the oil companies...it would cost them a lot of money for time down on top of other things...for instance one guy i worked wit didn't deliver a load till 48 hrs after his delivery time...that one late delivery cost the oil company a couple hundred thousand dollars

3.38 in some gas stations an i will effect some of my shows im goin to go . an will cut down on to them. which suck a big one

Originally posted by thedurtyone



this is no wives tale...if the truckers wouldn't haul for the oil companies...it would cost them a lot of money for time down on top of other things...for instance one guy i worked wit didn't deliver a load till 48 hrs after his delivery time...that one late delivery cost the oil company a couple hundred thousand dollars

no, thats not how supply and demand works. if supply goes down and demand is constant, which it would be, the price would go UP.

Think about it in terms of miatas. When mazda introduced the miata in 1990, it was HUGE, waiting lists, people buying spots in line, cars bought and then sold for profit in the same week. So knowing that the SUPPLY was limited, how much do ou think the DEMAND affected the price? The car was supposed to sell for ~12k and give people a cheap little convertible, and I think the actual selling price was about 60% more than that.

If there is a shortage of gas due to truckers refusing to haul, gas companies will ship by rail or airplane or rickshaw, and simply increase the price to cover their extra expense.

Originally posted by Wakeboard03S10



Russ is right if you look at inflation on the % from a gallon of milk to a gallon of gas same time span milk has gone up more in price before gas has.

that's true, but i usually don't drink 11 gallons of milk a day. or need it to work. just for strong, healthy bones, lol

Edited: 4/18/2008 12:33:21 AM by thedurtyone

yea this business is supply and demand...but its kinda hard to fill a demand when theres no production going on...and shipping oilfield supplies by rail or plane is highly unlikely...I'm not saying they wouldn't do it...we could go back and forth all day long about this subject...I'd like to see prices go down as much as the next guy...honestly i can deal with higher fuel prices if the pay was to go up as the fuel gets higher

Originally posted by sdime2372



Originally posted by Wakeboard03S10



Russ is right if you look at inflation on the % from a gallon of milk to a gallon of gas same time span milk has gone up more in price before gas has.

that's true, but i usually don't drink 11 gallons of milk a day. or need it to work. just for strong, healthy bones, lol

hahaha ver very true, but of course they didnt need 11 gallons a day back then either...

lol 11 gallons of milk a day, I would vomit!

^^^^ drinks 11 gallons of milk daily

Originally posted by thedurtyone



Edited: 4/18/2008 12:33:21 AM by thedurtyone

yea this business is supply and demand...but its kinda hard to fill a demand when theres no production going on...and shipping oilfield supplies by rail or plane is highly unlikely...I'm not saying they wouldn't do it...we could go back and forth all day long about this subject...I'd like to see prices go down as much as the next guy...honestly i can deal with higher fuel prices if the pay was to go up as the fuel gets higher

well the point is that any measure taken to reduce price by reducing accessibility to oil or materials would increase prices, not lower them. A trucker strike would not lower price, the opposite would happen, the price would go to 11-12-15 dollars a gallon and truckers would just retire rather than come back to that.

You would need to change demand to lower price. if suddenly gas was a surplus good, the price would dip under a buck, but one would would care because no one would need it.

I can deal with gas prices too, I drive a 4 cylinder. I know a guy that would boast haughtily that he would keep driving his suburban no matter what the price went to, he sold it when gas hit 3 bucks consistently.

Most truckers just want better pay...I know thats what my family wants...We want to make a living not just break even...yea lot of u guys can deal with the high prices...but when you start dishing out anywhere from 50,000 to upwards of 500,000+ it gets harder and harder to deal when your pay doesn't go up...pretty much what i was trying to get at in my other post but along the way got distracted and didn't get the right point across