celticlord2112
Posts: 5732
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quote:
And after that? When gas keeps going up and up, along with food prices? Who are you going to blame then? Sooner or later the only person to blame is the crook jacking up the prices. Why does there need to be someone to blame? Prices go up when demand outstrips supply, and fall when supply outstrips demand--Economics 101. Any business, even oil companies, are going to seek to make the largest profits they can, and to do that will push prices as high as they can. Any consumer will act to push prices as low as they can. The price of gas is beyond annoying, but it is a natural reflection of market forces. Suppliers are selling all they want to, and consumers are buying all they can; yes, suppliers could sell more, but it that doesn't maximize their profits why should they? Consumers could reduce their gas purchases, but if that is how they choose to spend their dollars, why should they? There is no "blame" to be had here. If we don't want to pay $4 a gallon for gas, we need to come up with an alternative and make it happen. There are alternative fuels and alternative technologies that would move vehicles from point A to point B--we don't need to research them, we need to mass produce them. (Biodiesel is my personal favorite, but there are others as well) If there is blame to be had, it is that everyone, both consumer and oil company, proceed from the implicit assumption that there are no viable options to oil, that the only solution to high oil prices is greater oil supply. That assumption is refuted both by the already extant options such as biodiesel as well as the number of conservation techniques (e.g., carpooling, riding bicycles, mass transit) in existence to reduce demand. As consumers our power in the market is the power of buying or not buying. If we don't buy any more gas than we absolutely require, and reduce demand to where it is outpaced by supply, the prices will fall as Exxon-Mobil will act to encourage people to buy more. In economics as in every other aspect of life, the "blame game" is for losers, whiners, and suckers. It resolves nothing.
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