Recession Talk

[Pussy*Kat]

Im really sorry if this is a stupid question but its been bothering me for a few weeks.

If our economy, and that of the United States is so bad - why is gas on such a down slide?

It was at 1.20/L this morning. And compared to last months 1.49/L thats pretty good.

*sorry if its kinda off topic, I didnt read the whole thread*

[Gusto]

Originally Posted by Pussy*Kat

If our economy, and that of the United States is so bad - why is gas on such a down slide?

It was at 1.20/L this morning. And compared to last months 1.49/L thats pretty good.

*sorry if its kinda off topic, I didnt read the whole thread*

Oil price bounces back on rate cut hopes - Times Online

[Krusha]

uhhh ... Gas prices always go up in the summer time kit kat

OPEC make up whatever prices they want because they have a monopoly on the distribution of it.

Also, oil barrels costs are dropping rapidly due to the volatility of the market ... which means gas goes down too.

Technically , though if you do the math, gas should be going down a lot more but the dudes at OPEC are going "hold on, they're already used to pay $1.50/litre, so lets just leave it up" ... I'm paraphrasing of course but it's something to that effect.

In conclusion ... they pick the price and it's not directly chosen by the rest of the market, they always put it on the brink of the middle class hemorrhage.

[dj_soo]

also something like escalating demand for fuel in the summer has something to do with it too.

[Krusha]

ya i thought that part was obv , but thanks for the side note sulu =D

[Pussy*Kat]

It wasnt obvious or else I wouldnt have asked.

[Krusha]

kat ... sometimes you ask the obv

just deal