Current Events > Who do you mostly fault for the high gas prices in the u.s.?

(+) Yeah! (+)

CedarPointcp posted...

so if the war in the ukraine had never happened you don't think the high gas prices would have ever happened?

The price might have gone up but not this much.

DarkBuster22904 posted...

Only connected in the sense that it provided a small shock, which global oil tycoons used as an excuse to ride all the way to the bank.

So putting sanctions on a country that produces over 10% of the world's oil is a "small shock"? But companies that produce a fraction of that amount have the market share to cause prices to rise by themselves?

DarkBuster22904 posted...

The hightened costs are WELL beyond what can be reasonably accounted for with inflation and supply changes. Prices have nearly doubled in lots of places; and these companies are reporting record-breaking growth and profit month on month, all while wringing their hands about how they "have to" keep prices high.

Um, you know that oil is a global commodity that is priced as such, so any company that deals with this commodity will benefit because they are selling it at the market rates...

Or are you saying these companies that produce a fraction of the amount that OPEC+ does are the ones actually setting global prices somehow...? But then why would these companies incur hundreds of billion in losses in 2020 if they always have this pricing power?

DarkBuster22904 posted...

Prices per barrel are actually LOWER than they were pre-Ukraine, by-the-by. At least they were last time I looked. Food for thought.

They literally aren't. Prices were around $90 then and are about $120 now. So you're just making shit up about this also.

DarkBuster22904 posted...

Ukraine gave a convenient excuse for oil companies to test just how fat they could push the limit. And in so doing, they found they have the global working population by the balls.

So you really think these companies have the production capacity to set prices themselves? But somehow 10%~ of Russian oil being sanctioned is a small shock?

DarkBuster22904 posted...

This is a global price gouging scam, straight up. And the current attitude is to blame Biden and his evil, communist gas-price-magic-wand.

It isn't price gouging. The only people saying this have no understanding of how oil and gas markets operate.

Decades of decisions that made the US reliant on fossil fuel-powered automobiles as opposed to alternative transportation methods.

buddhamonster posted...

Its summer, so demand naturally goes up. We are also emerging out of a global pandemic in which demand was very low, causing a potential for slightly higher demand for travel then a normal summer now that places are fully opening and people feel comfortable traveling for the first time in years.

Then you have a reduced supply of oil on the market due to the nature of gas production and the pandemic. Production and current global supply are simply not at normal levels due to external, and global forces. This makes supply significantly lower then normal, further inflating the price.

Then Russia, one of the worlds largest oil supplier, decided to invade its neighbor, consuming a fuckton of fuel in the process, and also triggering sanctions and what have you, massively decreasing potential supply on the markets.

We have a perfect storm of increasing demand substantially at the same time that multiple, massive disruptions in the supply occurred. The result is something a student in Economics 101 could tell you on the first day of class. Prices skyrocket.

I dunno man, all the 30-50 year old blue collar workers I've met have said it's definitely Joe Brandon's fault. They didn't say why, but they all seemed so certain, surely they couldn't all be wrong?

Not Joe Biden

Corporate greed.

A combination of Russia and OPEC taking advantage of Russian sanctions