Wednesday, May 16, 2007
A day late
The gas boycott on the 15th was the most ASININE thing I have ever heard of! Everyone thinking about it for half a second will realize that instead of buying gas on the 15th, everyone will buy gas on the 14th or 16th. If we want to affect the price of gasoline we need to remember the laws of economics.
We need to stop acting like it's the big bad oil companies who are unfairly gouging us. Prices are determined by supply and DEMAND. The reason oil companies can "get away" with charging $3+ per gallon is that we the consumers are willing to pay it. Sure we may grumble and complain, but until we decide that gasoline is just too expensive to buy altogether, oil companies will be able, and perfectly justified, in charging what they do.
What if we just stop buying from certain companies until the price comes down? That idea sounds a little better, but remember supply is still limted. In order to keep up with the increased volume from the boycott of one company, rival companies will either have to raise prices, or else buy gasoline from the boycotted company.
The only way to lower the price of gas is for us consumers to stop demanding as much. Generally. Not just today or this month; we have to cut our consumption permanently. If you aren't willing to that, then you better fork over the bucks.
Oh, and if you want the government step in and require lower prices, we will only see shortages.