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jbarnett31

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Price gouging is happening everywhere, Up here in Mi. I have heard that in Hillsdale county gas going for $5.29 a gal. Around here in Detroit gas went from $3.59 last night to $3.99 this morning, have yet to see what it's at after work.

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It only went up 20 cents here. My girlfriend called me last night andtold me to fill up because people were going crazy at the gas stations saying its going to be $5.00 a gallon plus.

 

Its price gouging again, just like after 9/11 happened. Member that...in a matter of 4 hours gas jumped $4 a gallon for one night. /forums/images/%%GRAEMLIN_URL%%/eek.gif

 

Stupid people make smart people rich.

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I put $20 in the truck on the way to work yesterday at the cheapest station around @ $3.55 per gal cash ($3.61 credit) I didn't have any more cash. this morning I ran out to fill up and it was up to $3.65 cash .10 overnight. It's criminal what the oil company's are doing to us.

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Well guys as much as it sucks to pay out the nose for fuel, there is a good that comes from it. The price mechanism performs the task of rationing a scarce resource. If fuel was set by law at a level as low as it was before there was a reduction in supply it would encourage wasteful consumption. Think about ice after a hurricane. At 2 bucks a bag you would take as many as you could to keep your food cold, have some for your drinks and have extra just because. The supply being limited there would be a shortage in no time. The person with insulin that had to be refrigerated could and would likely be without something they need to sustain life while a few people would have a frosty beer. However if the price of ice was 8 bucks a bag you would take only what you had to have to make sure what was important to you was protected. Sometimes we forget that fuel moves throughout North America. The price of fuel will react to a supply disruption anywhere on the grid and will show the most pronounced change closest to the shortage. If you care for a better explanation of this idea here is a link

http://www.econlib.org/library/Columns/y2007/Mungergouging.html

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