Finally a break in the gas prices. I'm sure there is one on the way. The terrorists were foiled in their attempt to wreak havoc, therefore we should be getting a break in the gas prices because if they would have succeeded, the gas industry would have found an excuse to raise prices again.
No doubt about it.
Wednesday, August 16, 2006
We live in a firmly capitalist society and yet so many many people don't believe that gas prices are the result of supply and demand... even as they drive across town for gas prices that are only marginally cheaper.
We drive more on weekends and we drive more in the summertime and yet the fact that prices go up during times of high demand makes ordinary people just shaking in rage at the oil companies who, in their minds, are somehow guilty of price gouging. Its always seemed so irrational to me. If it is so important to save money on gasoline, why do so many people continue to buy SUVs and trucks? And why not obsess over the price of some other commodity, like coffee, instead?
Its so bad in Windsor that last year there was a massive run on gasoline one day. No one knows how the panic began but soon the local radio stations started covering the frenzy, naming station locations with lineups and prices and it became a self-fulfilling prophesy. There was a mad dash to fill up on gas before the prices went up and then, a mad dash to fill up before the gas stations ran out of fuel. There were line ups at the pumps everywhere. It was a strange infection of madness and it went away the next day.
I think is was in the aftermath of Katrina when the gas prices were sending the local population into lamentations, that I heard a "man in the street" interview on the CBC that was actually telling. The question posed to the public was, "What price of gas will it take for you to give up driving?" Everyone who answered said that there was no price that was too high.
This is why the public panics when the price of gas goes up.