FirstDownPirates said:
bigpern23 said:
FirstDownPirates said:
bigpern23 said:
GB-Hack said:
bigpern23 said:
BTExpress said:
Nothing to apologize for. Easy to explain.
Record demand = record profits.
BTW, you do realize that the companies we call "Big Oil" have only a 3 percent stake in the global petroleum market, don't you?
Just in case anyone thought that they were the ones pulling the levers with regard to prices.
Is there really a record demand? Has the use of automobiles really gone up so drastically in the last year?
I imagine demand is about the same and supply is more limited. That, however, shouldn't reflect in record
profits. Record grosses, sure, but if oil companies kept their margins the same, they wouldn't be fattening up at record rates like they are.
They know that consumers are aware of the oil crunch. They know that while oil is going up at a rate of $XX per barrel, they can raise their prices $XX+3 or whatever and people will chalk it up to "increased demand." They also know that people have to buy it, no matter how much they charge.
I think for the record demand you need to look overseas to the emerging countries of China and India, where first-time car ownership is booming. As a result, the demand for petroleum in those countries is through the roof, affecting world demand overall.
I understand there's more demand in those places, but enough to raise prices $1.50
in the last year?. $0.40 in the last two weeks (I understand that's partly to do with the changing season)? Maybe, but it seems to have gotten out of control to me.
Grimace said:
Sorry, but I don't see the point in blaming the oil companies. Why wouldn't they charge as much as they could?
Why should they have to be nice and give us a break? We don't ask the same of any other companies.
You're right. They should just start charging $100/gallon because **** it, why be nice?
The reason that oil companies should be held to a different standard is that they provide a necessity.
Riding a bike or the bus are good ideas (I ride my bike to work when I can), but they aren't always feasible. People need to use their cars and that give the oil companies an unfair advantage when it comes to pricing.
A baseball team, for instance, can only charge as much as people are willing to pay. PSL's are a complete sham, but some people will for them, others won't. There's a threshold there where the market dictates how much they can charge. People don't reasonably have the option of not using gas or oil to drive their cars or heat their homes.
It's only a necessity because of poor planning. It's not like food.
Umm, really?
Food is a necessity because we need it to survive, and there aren't any alternatives.
Gas is not a necessity because it's not the only alternative. It just happens to be the cheapest alternative, and the other alternatives aren't close enough to compete.
What do you view as the alternatives to oil/gas use for the average person?
In the home, you can certainly go with with a wood stove (my parents heat their house exclusively with one), electric heat or natural gas. You could even go solar (I did a story a few years ago about a coach who's house is "off the grid."). So there are plenty of options there.
Travel: Get a bike -- a great idea (and one more people should take advantage of), but not great if one has to travel far, has to bring more than a backpack worth of stuff with them, or if the weather is foul. A good alternative at times, but not by any means one that can offset one's use of gasoline to acceptable levels.
Get a horse -- not sure how expensive they are to feed, care for, etc., but again, only viable in certain areas (Pennsylvania?) and for all I know, they might cost as much as a year's worth of gas.
Get a hybrid -- Helps out, but one still has to buy gas.
Go with biodiesel -- I actually know someone who uses biodiesel in his old Mercedes. The amount of time he spends finding restaurants to give him canola oil and then collecting and filtering it probably offsets most of the savings he gets. It's worth it to him because he cares about the environment, but for the average person, this is not a viable option.
So where is gas not a necessity, outside of adopting an Amish lifestyle and never traveling outside the borders of your town?