Author Topic: Those eeeevilllll price-gouging.gas stations (Read 6021 times)

Brad Johnson · « **on:** March 19, 2015, 01:10:57 AM »

Aquaintance of mine was railing against "Big Gas" and how gas prices shouldn't be "TWO DOLLAHS AN TWINNY FY SINTS A GALLON 'CAUSE CRUDE IS CHEAP!".

So I schooled him.

Had him look up commodity RBOB. (The introduction to "WTF is RBOB!?" is a whole other hilariously depressing story) RBOB closed today at $1.799. OMG THEY'RE MAKING ALMOST FIDDY SINTS A GALLINS!!! Uh, no. I ask if he's backed out taxes? "D'at's only ten or fiddeen sints!" Uh, no (part II). Have him look up Texas total gas taxes. Imagine his suh-prize when he finds it's 38.4 cents per gallon. Have him add it all up and it comes to $2.18 a gallon wholesale cost on a $2.269 pump price. Genuinely crestfallen, he was. Kinda hard to gripe about a place that's only clearing a 4% profit on sales.

I think he's pretty representative of the average consumer. They don't know how market costs and tax burdens directly impact retail prices. They've been societally conditioned to automatically blame "Big Anything" for the problem rather than taking the time to be knowledgeable. I think it's sad that as a country we are so genereally bereft of context and perspective.

Maybe I should just give up, stop grousing about it, and sell flip-flops out of a carboard box on the beach in Cabo.

Brad

TommyGunn · « **Reply #1 on:** March 19, 2015, 01:15:07 AM »

"BIG" gasoline isn't the only "victim/perpetrator" of this sort of thinking.

It's a sign of our times.

just Warren · « **Reply #2 on:** March 19, 2015, 01:45:43 AM »

They complain about big gas but rarely about big tax.

zahc · « **Reply #3 on:** March 19, 2015, 02:16:50 AM »

The tax should be added on to the bill, like sales tax, with a separate counter on the pump and everything.

Ben · « **Reply #4 on:** March 19, 2015, 10:05:38 AM »

It always cracks me up that "big oil" is evil and making "obscene profits". I believe Exxon makes about a penny a gallon. Then compare Exxon profits to beloved Apple. Why does Apple, and "big computer" charge so much for an iPhone?

wmenorr67 · « **Reply #5 on:** March 19, 2015, 10:09:36 AM »

Then also why not bitch about the insane profits made by the pharmaceutical companies?

brimic · « **Reply #6 on:** March 19, 2015, 10:23:05 AM »

In my state, the total taxes are well over 50 cents per gallon and the state has a minimum markup law on gasoline.

Calumus · « **Reply #7 on:** March 19, 2015, 10:24:21 AM »

Or the bottled water companies... When you look at what "Big Oil" goes though to find, extract, transport, refine to numerous differing standards by state, transport again I'm surprised that its as cheap as it is. Then you look at high end water, where they're most likely just putting a giant Britta on top of their well pump. Why isn't anyone protesting Poland Spring?

Ben · « **Reply #8 on:** March 19, 2015, 10:28:46 AM »

Quote from: brimic on March 19, 2015, 10:23:05 AM

In my state, the total taxes are well over 50 cents per gallon and the state has a minimum markup law on gasoline.

I think in CA, with fed, state, local, and "other fees", we're approaching 80 cents/gal. They even charge a tax on the state tax here. Surprisingly, they just voted in a 7 cent tax reduction (though they raised diesel 2 cents).

HankB · « **Reply #9 on:** March 19, 2015, 10:40:19 AM »

People who scream their outrage that "GOVERNMENT IS SUBSIDIZING THE OIL COMPANIES!!!" tend to get a bit upset when I point out that government gets more in taxes than the oil companies get in profits, followed up with a question "Now, who is subsidizing who?"

On the other hand, I just read a story that the oil companies are running out of places to store the oil they're not releasing to the market . . . a situation that reminds me of what a classmate (whose father was an executive with Shell) told me during the gas crisis of the '70s . . . the company was running out of storage space for the oil being held back from the market.

Monkeyleg · « **Reply #10 on:** March 19, 2015, 11:05:04 AM »

Quote from: wmenorr67 on March 19, 2015, 10:09:36 AM

Then also why not bitch about the insane profits made by the pharmaceutical companies?

I've sure heard a lot of bitching about "Big Pharmaceuticals". There's lots of "big" enemies of the left. And the rich.

Last year Robert Downey Jr. made $75 million, and Mark Wahlenberg made $55 million. The year before Leonardo de Caprio and Johnny Depp made $65 million each. In the sports world, Floyd Mayweather made $105 million, Christiano Ronaldo $80 million, and LeBron James $72.3 million. Compare this to the average CEO, a common target of the left. In 2008, the highest paid CEO was Robert Iger of Walt Disney at $30.6 million.

Hawkmoon · « **Reply #11 on:** March 19, 2015, 11:21:21 AM »

Quote from: Calumus on March 19, 2015, 10:24:21 AM

Or the bottled water companies... When you look at what "Big Oil" goes though to find, extract, transport, refine to numerous differing standards by state, transport again I'm surprised that its as cheap as it is. Then you look at high end water, where they're most likely just putting a giant Britta on top of their well pump. Why isn't anyone protesting Poland Spring?

Dunno about now, but there is a spring in Poland Springs, Maine, and the water used to come from the spring.

Other brands, such as Evian, are just filtered tap water.

(Ever notice that Evian is "naive" spelled backward? The company knows dang well they're screwing their customers, and they even rub our noses in it with the product name.)

Ron · « **Reply #12 on:** March 19, 2015, 11:28:57 AM »

http://www.gaspricewatch.com/web_gas_taxes.php

don't know how accurate the above is but it seems about right to me

Calumus · « **Reply #13 on:** March 19, 2015, 12:39:44 PM »

Poland Springs was caught twice in the 90's filling trucks from hydrants in my old town in NJ... May have been a contractor; but the tanker had the company logo on it and the fines were issued to Poland Springs.

Angel Eyes · « **Reply #14 on:** March 19, 2015, 01:00:29 PM »

Quote from: Brad Johnson on March 19, 2015, 01:10:57 AM

Aquaintance of mine was railing against "Big Gas" and how gas prices shouldn't be "TWO DOLLAHS AN TWINNY FY SINTS A GALLON 'CAUSE CRUDE IS CHEAP!".

Don't show him this:
http://www.sfgate.com/bayarea/article/Sausalito-gas-station-charges-8-a-gallon-6133057.php

mtnbkr · « **Reply #15 on:** March 19, 2015, 01:05:41 PM »

Quote from: Hawkmoon on March 19, 2015, 11:21:21 AM

(Ever notice that Evian is "naive" spelled backward? The company knows dang well they're screwing their customers, and they even rub our noses in it with the product name.)

Not really.

Quote

1789

The Marquis de Lessert enjoys the light, fresh taste of evianÂ® water from a spring on his friend, Mr Cachat’s property in Evian-les-Bains. He also experiences the benefits: his kidney stones are cured. The town and its spring become famous.

Evian-les-Bains is a real place

Chris

KD5NRH · « **Reply #16 on:** March 19, 2015, 01:07:14 PM »

Quote from: Brad Johnson on March 19, 2015, 01:10:57 AM

Have him look up Texas total gas taxes. Imagine his suh-prize when he finds it's 38.4 cents per gallon.

Did you also remind him nearly half of that is Federal tax so he can't even blame it on Texas?

TechMan · « **Reply #17 on:** March 19, 2015, 01:10:06 PM »

Quote from: Calumus on March 19, 2015, 12:39:44 PM

Poland Springs was caught twice in the 90's filling trucks from hydrants in my old town in NJ... May have been a contractor; but the tanker had the company logo on it and the fines were issued to Poland Springs.

No need to even do that: http://www.tapdny.com/

Quote

In 2008, New York Entrepreneur Craig Zucker began selling tap water (after running it through a reverse osmosis procedure to remove the chlorine) under the name Tap’d NY. He priced it fairly high at $1.50 for a 20-ounce bottle. In this case study we see the marketing brilliance of Zucker, how the media picked up on this and how with the right hustle you can actually take a shot at selling ice to eskimos.

KD5NRH · « **Reply #18 on:** March 19, 2015, 01:10:47 PM »

Quote from: Calumus on March 19, 2015, 10:24:21 AM

Then you look at high end water, where they're most likely just putting a giant Britta on top of their well pump. Why isn't anyone protesting Poland Spring?

Well pump? Read the bottles and notice how many of them flat out admit to coming from ____ municipal water supply.

I do buy bottled water for convenience, but it's whatever WalMart or HEB has cheapest by the case. Probably well over half the price I'm paying at that point is raw cost of bottling and hauling it to the store.

brimic · « **Reply #19 on:** March 19, 2015, 01:19:28 PM »

Quote from: Calumus on March 19, 2015, 12:39:44 PM

Poland Springs was caught twice in the 90's filling trucks from hydrants in my old town in NJ... May have been a contractor; but the tanker had the company logo on it and the fines were issued to Poland Springs.

There has to be a joke in there somewhere.
Polish spring water....

Brad Johnson · « **Reply #20 on:** March 19, 2015, 01:22:36 PM »

Dasani (Coca Cola) s a perfect example of marketing brilliance. It's the same R/O filtered water used for their soft drink production line, only sans flavorings and sold under a different product name. Many times I'll see Dasani water selling for more than it's carbonated, flavored, higher-production-cost siblings a few racks over.

What's funny is watching someone buy a case of dollar-a-pint bottled water when the same R/O filtered water can be had in generic jugs just down the aisle for under buck a gallon.

Brad

KD5NRH · « **Reply #21 on:** March 19, 2015, 03:51:30 PM »

Quote from: Brad Johnson on March 19, 2015, 01:22:36 PM

What's funny is watching someone buy a case of dollar-a-pint bottled water when the same R/O filtered water can be had in generic jugs just down the aisle for under buck a gallon.

$0.86/gallon for distilled, usually. I use it in my radiator[1], iron and suit steamer[2] to minimize scale from the local tap water. When you can find it in the 2.5 gallon jugs, it's sometimes an even better deal.

[1] Just under 2 gallon system capacity, so a gallon of antifreeze and top off with one jug of water a lot cheaper than two gallons of premixed coolant, then I save the af jug, buy another jug of each later, and make two gallons of premix myself for topping off.

[2] Maybe two gallons a year between the two. Hardly a major expense, and cheaper than having to clean them out with vinegar every few months.

MechAg94 · « **Reply #22 on:** March 19, 2015, 08:37:52 PM »

A lot of gas stations have stickers on the pump telling you how much is gas tax. How did they NOT know it was 30 or 40 cents?

MechAg94 · « **Reply #23 on:** March 19, 2015, 08:38:51 PM »

Quote from: TommyGunn on March 19, 2015, 01:15:07 AM

"BIG" gasoline isn't the only "victim/perpetrator" of this sort of thinking.

It's a sign of our times.

Yeah, sign of the times like the value of the dollar in the toilet.

MicroBalrog · « **Reply #24 on:** March 19, 2015, 08:44:37 PM »

Quote from: wmenorr67 on March 19, 2015, 10:09:36 AM

Then also why not bitch about the insane profits made by the pharmaceutical companies?

"The whole aim of practical politics is to keep the populace alarmed (and hence clamorous to be led to safety) by menacing it with an endless series of hobgoblins, all of them imaginary."

News:

Author Topic: Those eeeevilllll price-gouging.gas stations (Read 6021 times)