On 1/2/2012 8:39 PM, Han wrote:
wrote in
:

On 1/2/2012 7:39 PM, Bill wrote:
Leon wrote:


But in this instance, there is no shortage so demand does not affect
pricing.

Depends what you mean by "shortage". Do you think if they fixed the
price at $2/gal tomorrow, that there would be enough around to meet
demand? By "supply", you might substitute "supply chain", taking into
account the source of the gasoline from the point that the oil is
pumped out of the ground. My point is just that the supply rate is
bounded, especially in the short run. That said, I don't know what
the "fair" price should be. I do admit that at $4+/gal, I'm pretty
efficient about my use of the stuff.

As Leon says, there is no shortage:

http://www.hydrocarbonprocessing.com...il-demand-fell
-in-November-on-lower-gasoline-consumption-API.html

Totally manipulated:

http://www.tradingnrg.com/crude-oil-...mated-crude-oi
l-market-december-13th/

I have heard that gas at current prices is really not more expensive
after adjusting for inflation than it was in the '50s and '60s.

(ducking)


http://www.contraryinvestor.com/imag...wtic052211.jpg


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