Some News items. But mainly personal opinions that may be unreasonable, without warrant, meaningless and shameless but relentless and consistent as a blinking light. Of course there is that story about Antoine-Laurent de Lavoisier, the guy who discovered and named oxygen & hydrogen and executed during the reign of terror. He purportedly asked a servant to see if his eyes blinked after he was beheaded. No one could prove the story. But maybe we can see after death.
Sunday, February 8, 2015
The Price of gasoline
So we've had cheap
gasoline, relatively speaking, since the end of summer 2014. Instead
of the $3+ per gallon which I believe people had grown used to, I
know I had, and by getting used to I mean that people used various
strategies to offset the costs associated with more expensive
gasoline. My belief is based solely on logic and not with facts that
when something costs less than what you've been used to paying for it
that you will buy and use more of it than you did when the cost was
higher. That extends to any consumable and gasoline is a consumable.
So what does this mean that more gasoline is being consumed? It means
that more carbon is being put into the environment thereby raising
the prospect that we are adding more greenhouse gasses, that it is
anti-environmental and ultimately global warming is costing us more
economically than any savings due to the energy efficiency efforts
that have been made over the years, damaging any good efforts towards
slowing global warming. So what is the answer? One possibly is (and
I'm sure many will think impossible) raise the price of gasoline so
that it is never below $3.00 making the cost when it is cheaper to be
offset with an added tax. Develop regulations for the oil markets so
that the predictive price of refined gasoline on the market stays far
more consistent and doesn't fluctuate from day to day due to the
gamblers in the commodities market. Whether that will work is way
beyond my knowledge of economics, governmental regulations and market
forces but I still believe that when something is too cheap people
will buy more of it. And as of this writing we would have to rely on
the voluntary efforts of people to not use more gasoline because it
costs less. And that in my book is not a win win, but a lose lose.
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