Gas prices are determined by different standards, but mainly upon supply and demand. High gas prices were raised recently because of the effects the storm had on the oil refineries, transportation, and off-shore rigs, although the damage was very minimual. Now that the storm is over regular gas prices at the pump are still $1.00 (plus) higher in most states than before the storm hit. What effects the price of gas is not just supply and demand, but profit and greed by the oil monopolies. Face it, gas is NEVER going to drop to what was at the pumps prior to the hurricane.
The oil corporations are no fools. Once the price when up, and demand is no longer there -- do you really think they are going to drop them to the original price? The rich oil industrialist feel they gave us cheaper prices after Katerina, but in the process raked in billions upon billons of profit. Think of the millions and millions of gallons that were sold when pices jumped from $1.71 to moe than $3.00 a gallon. Times that amount by the number of drivers (just in America) and it is mind-boggling what profits the oil industry have been pulling in. They have also been pulling the wool over our eyes. They cast blame upon distribution and other minor circumstances, when greed and control of the market is why and how they can do what they do. And our government does nothing.
The oil industry and the Bush squad are reaping a profit off the storm. To this citizen, it is obvious that they jacked-up the prices day-by-day, then slowly dropping it to pacify the customer. Now it is shooting back up --- and I may be wrong but it will never again (in this area) be under $2.00 a gallon. Why? Because, not only is our government allowing it, but sadly we are willing to pay the price. The oil companies know this. You hear on the news of people at the pump saying, "I am willing to pay "X" amount of dolloars," or "I will not give up driving," etc., so of course the oil companies are going to raise their prices. As long as we allow it and pay it -- gas prices are going to continue to rise.
Bear in mind that the oil industry has been selling gasoline at record high prices and easily able to offset any damage they were hit with from the hurricanes. In fact, the storm has allowed President Bush to use his office to seek the oil not only out of the National Oil Supply, but he is doing so to allow his oil friends access into the Wildlife Refuge in Alaska and the national storage tanks. Bush does not care about the environment, let alone what might happen if the oil companies rape and ruin the natural ecosystem in Alaska. He's out for the oil -- and will do anything to get it. And those who support this radical Administration are DUPES to accept Bush's treasonable activities.
In a recent article on the front page of the Idaho Statesman ("Oil companies expected to earn $96 billion in '05: Profits surge with high prices despite storms,"October 28, 2005, A1), Matt Krantz of USA Today, writes: "Net income (is) up 75 percent to $9.92 billion. That is the most a U.S. company has earned from operations in a three-month period and greather than the annual gross domestic product of entire nations including Cameroon and Zimbabwe." He goes on to say, that the "industry is on pace to earn $96 billion this year -- moe than what the USA's industrial and telecom companies will earn, combned."
The storm was no excuse to raise prices! "It's not as if the industry didn't have difficulties with the damage of hurricanes Katrina and Rita. In fact, ExxonMobile said oil production fell 5 percent during the third quarter and natural-gas production fell 9 percent. But those disruptions had little effect on the flow of oil companies' profits."
In my humble opinion -- it is a clear case of greed! The oil industry saw the natural storms coming as a means to make a hugh profit by jacking up the price of a gallon (pre-hurrican prieces at the pump) even before the first gust of wind hit or the first rain drop fell. As mentioned earlier, the price of gas in my town is way above the national average for a gallon of gas. Yet, even after things calmed down for the devastation of the hurricanes, the price for a gallon of gas did not go down to the pre-storm cost of $1.71 per gallon--it never will.
That is a one-third increase per a gallon of gas, all because of a storm that had little if no effect, whatsoever, on the oil refineries or corporations. Who ever is doing the oil companies marketing campaign, I am sure has received a BIG BIG bonus. It is NO wonder they are going to earn $96 billion this year. Isn't that sad! Pull out a hankie! They are raking in the profits, based upon a natural disaster that really had no major distructive effect on their refineries or production, and sadly making excuses why they are raking in record profits. It is clear that they are in control, and our present administration is doing nothing to stop this. Noting. Why? through decades of work putting into play important laws, loopholes and exceptions to escape corporate taxes, to protect the wealth, power and monopolies of the BIG corporations and super-rich, allowing them to squeeze every cent they can out of the American people and the world!
Joseph Martin, a former Republican Speaker of the House from Massachusetts, years ago said that "any graduate economist can tell us that corporations compute profits after taxes, and not before, and their price scales are adjusted accordingly." Of course, All "taxes supposedly paid by corporations are passed on in price of goods or services to the ultimate buyer. . . " and "in nearly all cases, merely act as collection agents for the government." (Ferdinand Lundberg, The Rich and the Super-Rich, New York: Bantam Book, 1868, 399).
Though some may say that Gary Allen's book, None Dare Call It Conspiracy is a touched far right-wing, it does bring out an interesting statments that relates to this issue. Allen wrote that a person
"must draw the distinction between competitive free enterprise, and the most moral and productive system
ever devised, and cartel capitalism dominated by industrial monopolists and internaitonal bankers. The
difference is the private enterprisers operates by offering products and services in a competitive free market
while the cartel capitalist uses the government to force the public to do business with him. These coporate
socialists are the deadly enemies of competitive private enterprise." (p. 77).
We are forced (or is it we have no other choice) but to do business with the oil companies. We love our freedom to drive, and are willing to pay almost any price at the pumps. The oil industry is IN control and monopolizes the economy, and clearly the federal government does not want to hinder the profits going to the oil cartels. History reports, and please correct me if I am wrong, that the Bush family has been involved in striving to control the oil fields in the Middle East for years. There is no doubt in my mind that monies have been flowing into the present administration's personal pocketbooks, but a fart greater amounts into the vaults of the oil industrialist. All because of the Iraq War and the circumstances of the hurricanes that hit New Orleans and the South. Indeed, war is BIG business. (Continue -- click here)