[Driver72]

are still at a national average of $3.29 per gallon.

Back in January 2008 when oil prices hit $100 a barrel for the first time in history, GAS prices were $3.06 per gallon on the national average.

So what's going on?
Are the gas stations owners price gouging now too?

Years ago (and up until July 2008 as oil prices hit the record high of $147 per barrel) I understood that GAS station owners only made about .01-.03 per gallon of gas they sold.

That clearly could NOT be the case NOW.
Oil prices have plummeted back down to a "reasonable" price in the past 2-3 months, but the GAS prices at the pump have not drop in unison or by relative percentage amounts.

Over the summer when oil prices were skyrocketing, I remember the gas stations raising gas prices by .10-.15 per gallon in a DAY. On one particular weekend I remember seeing the gas prices going up .30 per gallon.
But it's surely not going back down at anywhere CLOSE to that rate but recently oil prices have plummeted as fast as it skyrocketed over the summer.

In So Cal right now, gas prices are around $3.40 per gallon.

Isn't that price gouging? I'm no economic expert, but I thought their were laws against price gouging and experts who monitored things like this?
So how is it possible gas prices are still at the price they are with oil prices down, and demand not super high (as people aren't driving as much because of the economy and their financial situations)

Anybody have insight?
Who do we contact to "complain" about the price gouging?

[///M-azing]

i think it definetely is but gas is way better than its been so im not complaining too much, gas by my house went from 3.29 to 3.19 and drops every few hours lol im just happy for that

[Blake]

it has a lot to do with market volatility. oil has been fluctuating multiple dollars on almost a daily basis. since oil's price spike this year, oil and gas companies have been reluctant to adjust prices downward very quickly because of the volatility...and you know they don't like being shortchanged! give it some time, it should go down some more, although i doubt we'll see a national average below $3 ever again. hope this helps.

[Rusty's508whp]

It's $2.89 in dallas.

[Blake]

Originally Posted by Rusty's508whp

It's $2.89 in dallas.

damn you're right. i live in dallas as well. the chevron by me is way behind but costco near me has $3.04 premium i checked dallasgasprices.com and found $2.77 in garland for 87.

[haen]

Has anyone noticed that while the price of gasoline has risen dramatically, the price discrepancy between the three grades has remained the same ($.10 in california)? Now there is a scam, especially for people who buy regular.

[pmeloche]

I'm on business in Cedar Rapids, Iowa. When I arrived on 8th October the price was $2.99 per gallon. Today it was $2.89 per gallon.

[Saigon]

Originally Posted by haen

Has anyone noticed that while the price of gasoline has risen dramatically, the price discrepancy between the three grades has remained the same ($.10 in california)? Now there is a scam, especially for people who buy regular.

depends what city you're in. If you are l.a. you're going to get rocked. I paid 3.45 for premium at Garden Grove Costco. In Cerritos I usually pay 3.67-3.74 for premium. I definately hope that gas will go down, as fewer people are at the pumps I have noticed that as well. you can also check this is you're bored to see the best gas prices in your area. www.gasbuddy.com

[E. Honda]

Keep in mind, 60 cents in Cali goes to tax. So a normal $3.40 per gallon without tax would be $2.80.


Source: http://www.californiagasprices.com/tax_info.aspx

California pays the highers in gas tax with 63.9 cents per gallon, and Alaska has the lowest at 26.4 cents per gallon.

[ska///235i]

Mobil $3.33 on 10/11/08 in 02171

[Driver72]

They can't blame Cal. taxes on it.
It's a national average of $3.29 per gallon right now.
Here in So Cal it's around $3.40-$3.50 at most pumps.
I always expect and see that our prices are .20-.25 per gallon higher than the "national average".

When oil was around $80 a barrel in 2007 I'll bet the national average was around $2.60 a gallon.
So that means gas now is selling for about .60 a gallon MORE than it was a year ago, though oil prices are the same now.
Plus, I'd bet people are driving LESS now too since they are tightening their belts in this depression of an economy.
So if anything gas should be even lower.

I think the gas STATION owners are just ripping us off right now.

I understand the prices have been volatile recently, but they were last year and into the summer too. But still mostly all going UP.
The gas station owners couldn't raise their prices fast enough then.
Now that the oil prices are volatile again, but almost always heading DOWN in a big way (from $147 a barrel in July to $80 now) the station owners seem to be pretty slow (and well behind) in dropping the gas prices back down to reflect what they are paying for it.

[Park2670]

In Salt Lake our average is still $3.50 a gallon. Doesnt make sense when we have our own refinery here

[ArmyBimmerDude]

93 Octane - $3.23 as of Oct 12th. 30909

[souldriven]

Originally Posted by E. Honda

Keep in mind, 60 cents in Cali goes to tax. So a normal $3.40 per gallon without tax would be $2.80.


Source: http://www.californiagasprices.com/tax_info.aspx

California pays the highers in gas tax with 63.9 cents per gallon, and Alaska has the lowest at 26.4 cents per gallon.

I heard an NPR new story, CA state official complaining that as cars become more fuel efficient, the state looses tax revenue. CA is looking into odometer tracking for vehicles, then taxing for miles driven per year.

Can you believe that sh*t? We already pay the highest per gallon rate, we've got to have the most vehicles per capita, yet our state officials complain that it is not enough.

makes you want to cry.

[dreamk]

doesn't it take time for the prices to adjust?

[aut0sh0cker]

Originally Posted by dreamk

doesn't it take time for the prices to adjust?

That depends. For instance, take the following scenarios:

1. Oil prices go up 30% overnight. The result: gas prices will follow within 1-2 days to go up 30%.

2. Oil prices go down 30% overnight. The result: gas prices will slowly sink until they hit a total drop of 15% over the course of 2-3 weeks.

[E. Honda]

Originally Posted by souldriven

I heard an NPR new story, CA state official complaining that as cars become more fuel efficient, the state looses tax revenue. CA is looking into odometer tracking for vehicles, then taxing for miles driven per year.

Can you believe that sh*t? We already pay the highest per gallon rate, we've got to have the most vehicles per capita, yet our state officials complain that it is not enough.

makes you want to cry.

Basically means GTFO California and move to like Florida or some shit. California becomes gayer and gayer by the second, no pun intended.

[DFW_M]

I would definitely like to hear NOW from Bushies/Govt believers "teaching" us about the "basic" principles of Economics and so on -- when oil went up to $140, and we were paying average at the pumps $4.

It's been more than a month since oil was below $100, and some days much below $100 (drop of 40%), but the average gas price this week is $3.49 (http://www.eia.doe.gov/oil_gas/petro...home_page.html) -- drop of ONLY ~13%...

Where are the economics gurus (Gonzo, darkcloud, Ganeil, ah, and of course to top economist TurboFan...)

[Los Angeles]

Originally Posted by E. Honda

Basically means GTFO California and move to like Florida or some shit. California becomes gayer and gayer by the second, no pun intended.

Nah, I think I'll stay here.

Its not that serious.

[TheCyrax]

I saw 2.69 today

[lauer87]

Gasoline prices aren't directly tied to the price of crude, but they are influenced by them. Wholesale gas prices are basically set on the NYMEX where traders buy and sell contracts for gasoline much like they do for crude. These prices on the NYMEX don't reflect any sort of tax added on by the state or federal govt.

Refineries process crude oil into a variety of different products. Gasoline is by volume the largest product of crude. Some weeks relatively more is produced and some weeks less; some weeks we consume relatively more or less gas, all of which affects gasoline inventories. Alot goes into prices of gas, some factors are fundamental like supply and demand, but other influences aren't as fundamental such as traders speculating.

This link has lots of good data for gasoline inventories and prices:
http://tonto.eia.doe.gov/oog/info/tw..._gasoline.html

[SoYank]

Originally Posted by blakepilot

it has a lot to do with market volatility. oil has been fluctuating multiple dollars on almost a daily basis. since oil's price spike this year, oil and gas companies have been reluctant to adjust prices downward very quickly because of the volatility...and you know they don't like being shortchanged! give it some time, it should go down some more, although i doubt we'll see a national average below $3 ever again. hope this helps.

If that's the case then the oil companies should also be reluctant in the future to adjust prices up very quickly too. But you and I and the rest of the world know that that isn't going to happen.