Gasoline prices Inching Upwards Before Shortages Occurring?
Increasing the takings by influencing the public and policy or economic conditions. The money from a takings a business or speculator gets from selling goods or services during a particular period. Is there really a shortage so soon? Oil and gasoline industry are a bunch of pirates,
Taken from “Gas prices climb in U.S., Southwest during war with Iran,” ncwlife.com, Liam Hibbert | The Center Square Contributor
“The last time we saw something similar to this was when Russia invaded Ukraine,” AAA Mountain West Group Spokesperson John Treanor told The Center Square.
Another spokesperson stressed the war’s impact at the pumps.
“This war in Iran has definitely caused oil prices to go up quite a bit in the last week,” AAA Mountain West Group Spokesperson Julian Paredes told The Center Square. “ Twenty cents going up in a week is pretty extreme.”
While minor gas price increases are typical in the spring, AAA experts said the difference over the past week can’t be accounted for by this seasonal difference.
“It’s typical to see gas prices go up a little bit because people are driving more as the weather gets nicer. Switching over to summer-blend gasoline. This is a more expensive form of gasoline,” Treanor said.
Oil refineries make summer-blend gas that has more expensive additives to prevent evaporation during the heat, according to AAA.
“What does not typically happen are large jumps like this due to extenuating circumstances, historical events,” Treanor said. He added that seasonal changes normally account for a couple of cents per gallon.
As of Wednesday, the U.S. average price for a gallon of regular gas was $3.20, up 22 cents from last week’s $2.98, AAA reported.
In Arizona, the average price for a regular gallon on Wednesday was $3.49, up from last week’s $3.27. California, with the most expensive gas in the country, was up to $4.74 from $4.63. Colorado was at $3.11 from $2.90, and Nevadans were seeing an average of $3.83 at the pumps, up from $3.70 last week.
“This war with Iran impacts us in Arizona,” said Paredes.
Elsewhere in the U.S., average gas prices on Wednesday were $4.41 a gallon in Washington state, up from $4.36 a week ago; $3.32 in Illinois, which is an increase from $3.03 one week ago; and $2.817 in one of the states with the lowest prices, Texas, up from $2.61 a week ago.
The U.S. does not buy oil or gas from Iran, but experts say the sharp price increases over the past week have come from market speculation and the expected tightened global supply.
At the same time, the war in Iran could stretch on longer, with President Donald Trump on Sunday saying it could last four to five weeks.
“We haven’t yet seen the limits in supply affect the market, but it will if there’s a prolonged closure of the Strait of Hormuz,” said Auto Club Group Spokesperson Skyler McKinley in Colorado.
“I think we’re still about a week out from the increase in the per-barrel cost affecting what consumers are paying at the pump.”
This decade really seems to be rhyming with the 1970s all too often.
Most definitely similar:
It is called speculation. Economics is a social science or termed a “soft” science rather than a hard natural science. Human behavior, societal choices, and resource allocation rather than immutable physical laws. It formulates using empirical data and modeling. However it lacks controlled, repeatable experiments and faces unpredictable outcomes. Neither does it take into consideration human error or fallibility.
Think Yom Kippur War, leading to long gasolines lines when no real shortage existed. Just people panicking and making sure their gasoline tanks were always full. Not too long ago, I wrote a short piece on the 1973 oil embargo and my Datson 510. The gasoline frenzy was very true near where I lived and non-existence where I was chasing my first degree. So I would fill up down there and bring a 5 gallon can of gasoline home for the International Harvester tractor so we could cut the acres of grass at the Retirement Home where I worked part time.
So, what is the difference here? In 1973, OPEC demanded foreign oil corporations increase prices and cede greater shares of revenue to their local subsidiaries. Going from 30 cents a gallon to 60 to 90 cents a gallon by me was a big deal if you were driving a vehicle with a 390, 396 engines in it as compared to my 1.6-liter Datsun.
The United States was supporting Israel then the same as today. A lot of saber rattling going on then. A lot of under-utilized resource in the United States and resource to be used. It would cost companies to be more efficient, so they moved on to the next well. Things changed since then except for the same relationship between the United States and Israel. The scenario is different.
Militarily, Israel does not need our assistance. Why do we want to go back to the Middle East when we were already there two or more times. September 11, 2001, Al Qaeda terrorists hijacked commercial planes and flew them into the NYC World Trade Center, Pentagon, and an open field.
The U.S, led Iraq War in 2003 and a coalition. Operation “Iraqi Freedom” aimed to depose Saddam Hussein. Then too we suspected a middle east country held weapons of mass destruction and supported terrorists. Bush Jr. was the pres then and weaker than his dad mentally. Bush Jr. was stronger than Trump the idiot. This time we are confronting Iran under the same pretense. Again we will take on a nation do whatever and then attempt to run it similar to Iraq. Trump wants to be recognized.
Now let’s get to the issue of attacking Iran. “But Iran doesn’t pose a significant threat to Israel, let alone the United States. Even at its strongest, Tehran has merely challenged Israel’s dominance of the Middle East, not its survival. Yet the claim that Iran existentially threatens the Jewish state is rarely disputed in mainstream American debate, even by politicians who oppose war.” Jewish Currents– Iran Is Not an Existential Threat. It is debatable.
As far as the issues, caused by Trmp and Israel’s attacks? More than fifty percent do not believe there is a serious threat coming from Iran. Trump is saber rattling to distract the Americans from his dismal economy. “Majority of Americans oppose military action in Iran, new poll finds” PBS News. The little weasel Hegseth is also a threat.
Impressive math by TEF. I believe it to be similar. It has been a while since I invaded such areas. I could not do them if I wanted to do so today. Since I ran a warehouse that was shipping to China, Thailand, Philippines and multiple plants in the United States and Europe to, my knowledge today is more practical. We turned inventory 20 times per year for automotive manufacturing of wire harnesses. Much of my time was spent going from plant to plant.
Since much of America has a rule in their heads on hom much inventory they should carry without knowing how long it take to make parts, gather raw materials, and shipping; they unknowingly teeter on the edge. Much is due to not knowing the part processing, lead times, shipping, and issues.
Thank you for joining us, Kaleberg.