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Thread: $5 a Gallon Gas

  1. #13

    Re: $5 a Gallon Gas

    Quote Originally Posted by BuryRaven View Post
    Sure sure, but the concept if an inflated price based on equilibrium remains the same.

    The difference n price of if x is 100x more today versus last year, there is a greater ability to inflate the prices beyond that.

    Think of it like this, a pencil may cost 10 cents to the consumer, lets use it for simplicity sake.

    Production per unit/pencil may be 2 cents, distribution, convexity and shelving 5 cents per, so it may be essentially 1-2 cents per unit sold in profit. The small sale per unit point makes it hard to jump the price from 10 to 100c/$1 (excluding inflation).

    If you extrapolate this out, the larger the unit per price, you will of course see a larger unit per profit. As the profit margin increase as does price (high demand lower supply) the ambiguity of the margins are greater but are ideally set by market conditions.

    I hope this makes sense, I try my best to break it down to the easiest way possible to understand, I'm by no means perfect at this but if any more explanation is needed im happy to help.

    I get it, i just wouldnít call it brand effect.

    Now if look deeper i dont think the opportunity to increase profit margin is as big as it seems to ge thought of. First i dont think the change in price to produce is going to be negligible. Second i dont think enough consideration is going to how the increased price is going to effect demand. Demand going down is not good for profit margin. Now there may be an area for companies who are not producing now because the price is too low to get in the game and make dome money. It just needs to be weighed against the possible increase in cost they may have as well.
    IMO the increased cost is not hood overall for energy producers, but there is certainly a small segment that may benefits





  2. #14

    Re: $5 a Gallon Gas

    Hey Laxdad24 have you done any reading the last few days to see why this was posted. Talk to the 11,000 union members now without a job.





  3. #15
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    Re: $5 a Gallon Gas

    Quote Originally Posted by Section 120 View View Post
    Hey Laxdad24 have you done any reading the last few days to see why this was posted. Talk to the 11,000 union members now without a job.
    Obama screwed those guys first. Then Trump signed the bill because he has/had zero respect for the Environment and def none for the Natives in the area.

    All in All Iím 50/50 on the deal anyway. I want the jobs ( although none past construction where guaranteed Union) but being an Outdoorsmen Iíd also like to save a little Green for the future.


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  4. #16

    Re: $5 a Gallon Gas

    LaxDad24, fair enough. I was looking at the gas part of this because with gas on election day it was $2.09. Today it is $2.55. So China and the middle east are going make money on this (with Joe + Hunter). All we get is higher prices. Still don't understand his logic (or whoever made the call) that it is better to have to depend on them for our fuel or just work with Canada. I understand the environment but higher cost for us I don't think is worth it. The articles that I read no matter how much we help the environment China wipes out any gain we give the environment. I see some unions now think he put over a fast one on their union members. Being a golfer I like the Green but a lot of these west coast fires are because of bad political decisions to not have a prevention plan going on all the time. Nice chatting with you.





  5. #17

    Re: $5 a Gallon Gas

    Quote Originally Posted by Section 120 View View Post
    LaxDad24, fair enough. I was looking at the gas part of this because with gas on election day it was $2.09. Today it is $2.55. So China and the middle east are going make money on this (with Joe + Hunter). All we get is higher prices. Still don't understand his logic (or whoever made the call) that it is better to have to depend on them for our fuel or just work with Canada. I understand the environment but higher cost for us I don't think is worth it. The articles that I read no matter how much we help the environment China wipes out any gain we give the environment. I see some unions now think he put over a fast one on their union members. Being a golfer I like the Green but a lot of these west coast fires are because of bad political decisions to not have a prevention plan going on all the time. Nice chatting with you.
    The timing of this should show you this was Biden paying back a major favor to someone that helped him in the pa$t.

    This has absolutely nothing to do with the environment and everything to do with helping the oil producers/distributors outside of North America.


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  6. #18
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    Re: $5 a Gallon Gas

    Quote Originally Posted by jonboy79 View Post
    The timing of this should show you this was Biden paying back a major favor to someone that helped him in the pa$t.

    This has absolutely nothing to do with the environment and everything to do with helping the oil producers/distributors outside of North America.


    Sent from my iPhone using Tapatalk
    No doubt. Just like when we had Bush Jr and Chaney. Big oil gets what they want. Big Oil doesnt want us using Canada oil. Buy from OPEC. Just follow WEst Texas Intermediate on the Nasdaq. Watch it soar and thereís your answer.


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  7. #19

    Re: $5 a Gallon Gas

    Quote Originally Posted by Laxdad24 View Post
    Obama screwed those guys first. Then Trump signed the bill because he has/had zero respect for the Environment and def none for the Natives in the area.

    All in All Iím 50/50 on the deal anyway. I want the jobs ( although none past construction where guaranteed Union) but being an Outdoorsmen Iíd also like to save a little Green for the future.


    Sent from my iPhone using Tapatalk
    Pipelines are safeR AND cheaper. Elinating them does squat for the environment





  8. #20
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    Re: $5 a Gallon Gas

    Quote Originally Posted by blah3 View Post
    Pipelines are safeR AND cheaper. Elinating them does squat for the environment
    Safer and cheaper than what?


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  9. #21

    Re: $5 a Gallon Gas

    Quote Originally Posted by Laxdad24 View Post
    Safer and cheaper than what?


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    Then the alternative





  10. #22
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    Re: $5 a Gallon Gas

    Quote Originally Posted by blah3 View Post
    Then the alternative
    Between Canada and our own wells/reserves ...we have enough oil to last North America until the Sun Explodes! There are 2 major pipelines bringing Tarsands oil here already. Why do we need 3? No kinda pipeline is ďsafeĒ for the environment unless itís water. The Sioux Indians have been fighting this line since Bush. It puts their main fresh water source in jeopardy when it crosses the Missouri River near their reservation. But those Americans donít count. The thousands of miles of National Forrest that will be destroyed to install this line donít count. Wow. I guess you buy Evian water and only eat out so you get plenty of GMO in your diet.


    Along those ideas...since pipelines are Sooo safe ..I guess youíd be cool if the Fed bought/ took half your yard to run an oil or Natural gas line through?


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  11. #23

    Re: $5 a Gallon Gas

    Quote Originally Posted by Laxdad24 View Post
    Between Canada and our own wells/reserves ...we have enough oil to last North America until the Sun Explodes! There are 2 major pipelines bringing Tarsands oil here already. Why do we need 3? No kinda pipeline is “safe” for the environment unless it’s water. The Sioux Indians have been fighting this line since Bush. It puts their main fresh water source in jeopardy when it crosses the Missouri River near their reservation. But those Americans don’t count. The thousands of miles of National Forrest that will be destroyed to install this line don’t count. Wow. I guess you buy Evian water and only eat out so you get plenty of GMO in your diet.


    Along those ideas...since pipelines are Sooo safe ..I guess you’d be cool if the Fed bought/ took half your yard to run an oil or Natural gas line through?


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    The stats are the stats. Safer snd cheaper. You can act like trucking it all over North America is safer, but its not. Shipping it from overseas because artificially making it more expensive, not safer either.
    But hey lets make Russia and middle east countries richer cause we tell ourselves lies that make us seem morally superior





  12. #24

    Re: $5 a Gallon Gas

    Quote Originally Posted by Laxdad24 View Post
    Safer and cheaper than what?


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    I would assume the intent was compared to Oil tankers sailing all over the world.


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