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Wednesday, November 16, 2005

Ga$ Up - Ga$ Down


As you've all probably noticed the gas prices you pay at the pumps has gone down. While some deluded few may think this comes from the good intentions of the oil companies (who made bunches of billion$ in profit last quarter), I think it's more likely because gasoline demand has gone down. Most people tend to stay closer to home in the winter months and don't need the gas. Of course with a lesser demand in gasoline, the price will probably go down. It's also probably why I've been inundated with cable/sat television offers this month - sitting at home watching TV is much more likely than going out into the snow and cold and watching the lake freeze.

However, if you need heat in the winter, those gas prices are going up - way up. So any money you may have saved on gasoline in your car will be going for gas in your house. I've heard of 40-60% increases in the cost of gas and fuel oil) for the winter. Golly that's as if $2 a gallon gas suddenly cost $3 a gallon - who'd a thought?

And as much as I think billions of dollars in profit (not gross, but PROFIT) borders on the obscene, it is a market. They have a product that people need and will pay for. It sucks that the government is helping them make even more money (tax cuts! - really!!) but then the oil companies can afford to pay the government people to do their bidding. I mean if you're making white barfinkles and I need one, I'm going to pay what you ask for it. I'd like to think that you were nice enough to only make a reasonable profit and sell for a fair price - unfortunately I don't think that of oil and the government - as if there's a difference.


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