It seems like almost every time you look at the price of gas these days it’s gone up higher. Thing is, the only reason for it to be as high as it’s been in the last twenty years or more is pure greed combined with a major dose of plain old fashioned stupidity.
I think the greed part of the equation is pretty easy to see. Oil companies whine and cry about how much it costs for exploration and development, saying how they need tax breaks to help finance coming up with more fuel. They use the same whining and crying, along with supply and demand, to justify raising the price at the pump as often as they think they can get away with it.
As for the claims that we’re running short of oil, I’m not sure I buy that, but even if that is true there’s the supply and demand factor. I am not a hamster, you can see real quickly that the oil companies are deliberately keeping supplies at a fixed level. How you ask? Easy, they haven’t built a new refinery in over 25 years. Additional refinery capacity would mean an increase in supply and since they’re posting record breaking profits just about every quarter these days, buying up the needed commercial real estate and getting construction going wouldn’t be that big a deal to them financially….
… except of course that aside from the jobs something like that would provide, an increase in supply would remove part of their excuse for keeping the prices climbing