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More Katrina Madness

Posted on August 31, 2005 By Tom No Comments on More Katrina Madness
Rants

OK, here’s the second gas rant, after I promised not to do it again. At lunch yesterday gas was $2.35 in Duncan. I knew I needed to fill up, but figured I was OK until time to come home. By afternoon, the price had risen 24 cents to $2.59. Scary.

I know it all has to do with supply and demand and the decreased supplies brought on by Katrina, but here’s what bothers me. That station paid a certain amount when the supply truck came by. It seems to me that the price shouldn’t rise until they have to restock, at which time they pass their increased cost along to the customer. They haven’t incurred any increased cost yet, so that 24 cents is pure profit (of course, at least until they are resupplied.) At home, the news about the Gulf states was quite depressing. This has the potential for as bad an impact on the economy as September 11, 2001.

This morning the rumors were flying around the office about gas shortages. One rumor was that gas wasn’t going to be available in the Upstate for the next 35 days.  Sounds to me like those wild e-mail rumors that we have to block on a regular basis.  I’m sure this one will wind up on Snopes, too.

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