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Thread: Exxon Sucks !!
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  Exxon Sucks !! Post #4 (permalink)  
Old Apr. 01/08, 07:16 PM
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sig
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Join Date: Oct 2007
Location: On the ice
Posts: 263
I appreciate the enthusiam and sentiment, but this post severely lacks a fundamental understanding of basic economics.

If so many people stop buying from those companies, do you know what will happen? The OTHER companies that sell gasoline will jack up their prices well above $4, because there will be an overwhelming demand for gas that comes from these stations.

Gasoline is one of the most competitively priced commodities in the States. The regional differences you see are nearly all a product of differences in local and state taxes or legislation limiting the extent to which stations can change prices (meant to prevent tacit collusion through price signaling).

Assuming that we aren't finding any new sources for oil, the only way to reduce the cost of gas is to reduce the demand for it across the board.
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