Gas Prices - the REAL way to reduce them!

[scooterbug44]

I don't think that preventing or regulating price gouging will affect the supply. In an emergency situation, they"ll buy it regardless of price, but some who need it will be unable to afford it.

People should be punished for taking advantage of people during emergencies.

 

[Miss Kitty]

In an evacuation, there is obviously a very limited amount of fuel, so c-stores are correct to drastically increase prices to encourage consumers to only purchase what they need to get to an area with more gas and leave some for the next guy. Poorly thought out gouging laws is the main reason you see gas stations with zero fuel as you leave the beach in the event of a hurricane. You are one of the ones preaching the best way to get consumers to conserve is to increase prices. That?s exactly what happens in that situation, and it helps to prevent shortages. It also inadvertently encourages people to carpool and lessen traffic, so it would make sense for the state to encourage ?gouging?.

How about just putting a limit on how many gallons one can purchase?

 

[6thGen]

I don't think that preventing or regulating price gouging will affect the supply. In an emergency situation, they"ll buy it regardless of price, but some who need it will be unable to afford it.

People should be punished for taking advantage of people during emergencies.

It doesn't change the supply, that's part of the point. Price affects quantity demanded, so if the state wants to limit the amount purchased, they can do so, but it won't be anywhere near as efficient as letting the market do so itself. There are too many ways around limiting amount purchased.

 

[Smiling JOe]

You are one of the ones preaching the best way to get consumers to conserve is to increase prices.

I have never stated that high prices during an evacuation, or any other time, was the "best" way to conserve, just the most likely way. I have stated ways in which the gov't could encourage conservation without taxing or price control. There is a big difference the what I consider to be the best way and most likely way. ;-)

 

[scooterbug44]

It doesn't change the supply, that's part of the point. Price affects quantity demanded, so if the state wants to limit the amount purchased, they can do so, but it won't be anywhere near as efficient as letting the market do so itself. There are too many ways around limiting amount purchased.

The market takes time to regulate and correct itself. That's why there are "emergency" controls and measures. Outside of price gouging during emergencies I am all for leaving the market alone to correct itself.

Kitty's suggestion of limiting the amount you can purchase is better than allowing insane prices, but then it opens the can of worms of how much each person gets. I can drive my car 120 miles on 4 gallons of gas (even fully loaded down during an evacuation), whereas some SUVs could only make it 24 miles on the same amount. Should I get less gas or do I benefit for buying a more efficient vehicle?

 

[6thGen]

Joe, I?d be interested in hearing your suggestions. I know about doing away with incentives for purchases on low gas mileage vehicles, and I?m all in favor of that, but I don?t believe that it will be a drop in the bucket of energy conservation.

Scooter, limiting the amount you can purchase brings up what you mentioned and it encourages a black market ? i.e. folks buying their portion and selling half of it, etc. Government price and consumption controls are always a bad idea. Price is the most efficient way to get people to conserve, which is entirely necessary in an evacuation. Folks leaving are most likely to take the most fuel efficient car when prices are high, so you again have less quantity of gasoline demand when prices are high. As always, price is the most efficient way to allocate scarce resources.

 

[florida girl]

I think alternative sources of energy is the answer. The static generator, for example. I haven't heard anything more about that. When we take a family trip, there are 7 adult size persons in one vehicle. Try doing that in a small economy car!

 

[florida girl]

To cut down on usage lets start by eliminating the LOOOOOONNNNNGGGG lines of SUVs, trucks & cars (with engines & A/Cs/heat running) lined up at the schools and fast food drive-up windows....yeah, like that's going to happen:roll:

I think the school needs to do a questionare about why people are not using the buses, and are picking up/dropping off their child themselves, and make adjustments to their system.

 

[florida girl]

Many people have a hard time doing it voluntarily, especailly when each of us is only one of 300,000,000 Americans.

That's why I advocate use of the most direct channel of behavior mod ever known -- through the wallet. The way to conservation is through the wallet. If we want our great-grandkids to ever know the joy of driving -- to the movies or across the country -- we have to stop using as much.

We need to increase, not decrease, gas prices in this country, and soon.

That's extreme, I don't think sufficient data went into that conclusion.

 

[Smiling JOe]

Folks leaving are most likely to take the most fuel efficient car when prices are high, so you again have less quantity of gasoline demand when prices are high. As always, price is the most efficient way to allocate scarce resources.

I disagree. When evacuating, people tend to take the vehicle which can hold the most junk, in addition to family and pets. That is not likely to be the Toyota Prius if there is a Suburban in the driveway. In fact, more likely is the idea of taking both vehicles packed with junk.