Monday, December 01, 2008

Gas-price Irony

Many folks were attacking the Bush administration for high gas prices as they started skyrocketing this spring, in the midst of a heated election season where the candidates wanted to distance themselves from the incumbent by blaming him for any and all economic woes.

Some people thought that surely Bush, Cheney and their oil cronies were making a killing as prices went through the roof and consumers suffered at the pump to the tune of $4-plus per gallon.

According to a USA Today article, it turns out that gas stations are making higher profit margins as the price plummets because they're able to capitalize on a variety of factors not seen by the untrained - or unwilling - eye.

Wholesale prices are dropping faster than the gas stations have had to lower retail prices, and the stations pocket the difference. Convenience store sales are up because people are returning to the pump more often because they want to buy gas after prices have fallen even more. For more factors, read the article.

Just goes to show you that the rhetorical winds from politicians usually blow the listener away from nuance and more towards dogma, impairing the ability to judge a situation based on reality. May we - on both sides of the aisle - resist the urge to follow the herd at the expense of our critical thinking skills.

1 comment:

Unknown said...

You can thank our good elected, annoited friend for that. When ever anything good happens, you can thank him for taking over for such a horrible tyrant.