Randall Posted May 9, 2007 Share Posted May 9, 2007 About 20 years ago both coffee and chicken prices were cheap. In both cases what seemed like fake problems to spike prices(with coffee a mid summer freeze in Columbia) drove them up and they have stayed high ever since. Comparitively that is. When gas prices get to $3 here consumers get mad stop buying and they drop. This year I feel that may not happen and if there is no anger at $3.15(where it is now) we may have high prices permanently. Gas inventories are due out in about 30 minutes. In past years demand has dropped. What are prices where you are and are people driving less? Quote Link to comment Share on other sites More sharing options...
Savage Beatings Posted May 9, 2007 Share Posted May 9, 2007 I don't know how I could possibly drive less. However due specifically to gas prices, this last year I sold our Tahoe and bought a Corsica to replace it. So, my consumption has definitely decreased as a result of the higher prices. Quote Link to comment Share on other sites More sharing options...
Randall Posted May 9, 2007 Author Share Posted May 9, 2007 Crude inventories were up a fair ammt but gas inventories were up only .4 millions barrels. It should help lower prices a little. Quote Link to comment Share on other sites More sharing options...
CaP'N GRuNGe Posted May 9, 2007 Share Posted May 9, 2007 I paid 2.97 the other day, but that was with 10 cents off at Safeway (for every $50 in groceries, you get 10 cents off a gallon for a fill up). I've started to telecommute one day a week, so theoretically i've cut my cost of gas by 20 percent say to 2.38 per gallon, at least when looking at my daily commute. We don't venture out very much or very far on weekends so the usage then is negligible. Quote Link to comment Share on other sites More sharing options...
CaP'N GRuNGe Posted May 9, 2007 Share Posted May 9, 2007 The other thing with high gas/oil prices which seems to get little play is the overall effect on the entire economy. Not only is consumer spending adversely affected because you have less dollars to spend on other things like manufactured good and services because of personal increased fuel costs, but those goods and services themselves are more expensive thanks to the passing along of costs to consumers. I guess we may just have to get used to it. We've been fortunate for so long to have cheap energy compared to other developed countries in Europe, etc. Quote Link to comment Share on other sites More sharing options...
Savage Beatings Posted May 9, 2007 Share Posted May 9, 2007 Lack of refineries and mandatory Summer blends aren't going to help the matter any either. I just filled up at $2.99 yesterday here in South Metro MN. Quote Link to comment Share on other sites More sharing options...
skylive5 Posted May 9, 2007 Share Posted May 9, 2007 They got an early start here for the summer....3.50 a gal now and been over 3 a gal for the last month. Found a place for 3.42 a gal and thought I had hit the lotto. I leave the house like once a week....so I fill up about every other week or so. May start car pooling to the commissary if it gets any higher. Think that we will not see gas below 3 a gal anymore. Don't think anyone cares if consumption goes down some or not...they know that people have to drive and they are going to make their 60Bil profit a qtr one way or another. Quote Link to comment Share on other sites More sharing options...
Yukon Cornelius Posted May 9, 2007 Share Posted May 9, 2007 They got an early start here for the summer....3.50 a gal now and been over 3 a gal for the last month. Found a place for 3.42 a gal and thought I had hit the lotto. I leave the house like once a week....so I fill up about every other week or so. May start car pooling to the commissary if it gets any higher. Think that we will not see gas below 3 a gal anymore. Don't think anyone cares if consumption goes down some or not...they know that people have to drive and they are going to make their 60Bil profit a qtr one way or another. yup a friend of mine just got back form DC and there saying 4 to 5 bucks a gallon buy mid summer... Quote Link to comment Share on other sites More sharing options...
Big Country Posted May 9, 2007 Share Posted May 9, 2007 About $3.50 or so around here. Maybe closer to $3.40 MSNBC has an article about this (well, it is a response to the chain e-mail that always goes around this time of year about having a day where you don't buy gas). Local radio station had the MSNBC head of finance guy that wrote and researched the article on this morning, and the summary of the article is that basically a one day gas out has zero effect on the industry. I have not had a chance to look for the actual article, just saying what was discussed on the radio. Quote Link to comment Share on other sites More sharing options...
Big Country Posted May 9, 2007 Share Posted May 9, 2007 they know that people have to drive and they are going to make their 60Bil profit a qtr one way or another. One interesting point brought up by the gentleman on the radio I mentioned in my reply above is that while these numbers seem really high, the industry is actually on the lower side of the norm for profit percentage, somewhere in the 10-12% range for the refineries, as oppossed to a company like Coke that is making upwards of 20% or Bank of America which is well over 20%. The difference is the relatively small number of companies in the industry, so, while the raw numbers look hugh, as a percentage they are totally in line, if not lower, than most industries. Quote Link to comment Share on other sites More sharing options...
Yukon Cornelius Posted May 9, 2007 Share Posted May 9, 2007 One interesting point brought up by the gentleman on the radio I mentioned in my reply above is that while these numbers seem really high, the industry is actually on the lower side of the norm for profit percentage, somewhere in the 10-12% range for the refineries, as oppossed to a company like Coke that is making upwards of 20% or Bank of America which is well over 20%. The difference is the relatively small number of companies in the industry, so, while the raw numbers look hugh, as a percentage they are totally in line, if not lower, than most industries. well they should be more like super markets who make like 3-5% Quote Link to comment Share on other sites More sharing options...
CaP'N GRuNGe Posted May 9, 2007 Share Posted May 9, 2007 well they should be more like super markets who make like 3-5% I worked in a grocery store in a small town for a few years and I can tell you their bottom line had to be a whole lot higher than that. Especially when the majority of your labor force are high school kids with low pay and no benefits. That store was a gold mine. Quote Link to comment Share on other sites More sharing options...
Big Country Posted May 9, 2007 Share Posted May 9, 2007 well they should be more like super markets who make like 3-5% Well, add in that the gubberment gets their tax, the distributors get their cut, etc. The only people often making little to no money are the actual retailers. In fact, many of them actually take a small loss on the gas because of the hugh profit in the soda and candy in the snack shops. Quote Link to comment Share on other sites More sharing options...
Yukon Cornelius Posted May 9, 2007 Share Posted May 9, 2007 I worked in a grocery store in a small town for a few years and I can tell you their bottom line had to be a whole lot higher than that. Especially when the majority of your labor force are high school kids with low pay and no benefits. That store was a gold mine. nope i have 3 hunting buddies that work at supervalue and thats about it for the FOOD items.. other stuff is higher Quote Link to comment Share on other sites More sharing options...
Yukon Cornelius Posted May 9, 2007 Share Posted May 9, 2007 Well, add in that the gubberment gets their tax, the distributors get their cut, etc. The only people often making little to no money are the actual retailers. In fact, many of them actually take a small loss on the gas because of the hugh profit in the soda and candy in the snack shops. well i know that but still we need to stick to the man Quote Link to comment Share on other sites More sharing options...
Big Country Posted May 9, 2007 Share Posted May 9, 2007 well i know that but still we need to stick to the man Yeah, but ot stick it to the man, we essentially need to drive the mom and pop's out of business... those are the people that actually own the gas stations trying to live the American Dream. Quote Link to comment Share on other sites More sharing options...
godtomsatan Posted May 9, 2007 Share Posted May 9, 2007 $3.47 a gallon paid last night in Seattle for 87 octane. And that was driving past two above $3.55. Quote Link to comment Share on other sites More sharing options...
yo mama Posted May 9, 2007 Share Posted May 9, 2007 Creeping over $3.50 a gallon in San Jose, CA. I could care less. If anything, I think gas should be more expensive than it is. As long as its relatively cheap, there is little incentitive to make alternative fuels more than just "alternatives." Quote Link to comment Share on other sites More sharing options...
Big Country Posted May 9, 2007 Share Posted May 9, 2007 $3.47 a gallon paid last night in Seattle for 87 octane. And that was driving past two above $3.55. But, how far did you drive to save your $0.08 cents a gallon? Assuming a 20-gallon tank, and you were filling up on completely empty, you saved $1.60, or, a little less than half a gallon in cost of gas. Assuming a car getting 25 miles to the gallon, if the $3.47 gas station was mosre than say 6 miles away (12 mile round trip) from the closest $3.55 gas station, you cost yourself money... not to mention generated more pollution by driving more. Quote Link to comment Share on other sites More sharing options...
TimC Posted May 9, 2007 Share Posted May 9, 2007 We should abolish speed limits. The faster I drive, the faster I get there, therefore the less gas I use. Make it happen. Quote Link to comment Share on other sites More sharing options...
Big Country Posted May 9, 2007 Share Posted May 9, 2007 We should abolish speed limits. The faster I drive, the faster I get there, therefore the less gas I use. Make it happen. Actually, I don't believe that is neccessarily true. I believe at a certain point there is a diminishing return on gas mileage, so, actually driving slower would save you gas, but cost you time. Quote Link to comment Share on other sites More sharing options...
TimC Posted May 9, 2007 Share Posted May 9, 2007 Actually, I don't believe that is neccessarily true. I believe at a certain point there is a diminishing return on gas mileage, so, actually driving slower would save you gas, but cost you time. Da Vette doesn't really start purring until 115 MPH. Quit yer lyin'. Quote Link to comment Share on other sites More sharing options...
Big Red Posted May 9, 2007 Share Posted May 9, 2007 I'm paying $3.19 right now and have to put the 93 type in. However, for the last two months I have been getting about 31 MPG instead of the usual 25 MPG. I guess the 'summer' fuel and slightly modified driving habits have really helped. Anyway, the 20% increase in efficiency offsets the higher price a bit. Too bad I won't enjoy that efficiency all year. Quote Link to comment Share on other sites More sharing options...
TimC Posted May 9, 2007 Share Posted May 9, 2007 Maybe the Federal Gubment could cut that 18 cents a gallon they charge. Maybe the State and local Gubment could cut their 20 cents (or so) they charge. They make more money per gallon than the oil companies for doing nothing. They don't even have to risk drilling a dry hole. Speaking of drilling a dry hole, maybe Pelosi could help. Quote Link to comment Share on other sites More sharing options...
Big Red Posted May 9, 2007 Share Posted May 9, 2007 actually driving slower would save you gas, but cost you time. Not totally true. Each engine/transmission is geared to get best economy around a certain speed, usually 55-60 MPH. If you go slower than that, the decrease in consumption is offset by the length of time the trip takes. If you go faster, the shorter time is offset by the increase in consumption. That range is usually engineered to offer the highest consumptions/speed ratio. I used to drive 60-80 MPH all the way to work and I got about 22-25 MPG. Now I leave a little earlier and drive 55-65 all the way. It adds only about 5 minutes to my total commute and has increased my efficiency to just above 30 MPG. Of course, if I hit traffic, this goes out the window. Quote Link to comment Share on other sites More sharing options...
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