http://joeygibson.com/2008/04/23/economics-lesson-about-gas-prices/ OSX, Java, Ruby, Python, Objective-C, Lisp, politics, religion, Greek, Spanish and much more! Thu, 20 Nov 2008 17:52:24 +0000 http://wordpress.org/?v=abc http://joeygibson.com/2008/04/23/economics-lesson-about-gas-prices/#comment-94 Jason Kratz Tue, 29 Apr 2008 14:55:59 +0000 economics_lesson_about_gas_prices#comment-94 Oh...and I'd also recommend reading the comments left on that particular post because they're actually a lot more informative than the article itself. Oh…and I’d also recommend reading the comments left on that particular post because they’re actually a lot more informative than the article itself.

]]> http://joeygibson.com/2008/04/23/economics-lesson-about-gas-prices/#comment-95 Jason Kratz Tue, 29 Apr 2008 14:52:44 +0000 economics_lesson_about_gas_prices#comment-95 There is one big problem here....while the profit margin of a water utility may be 10% the price of water is not keeping pace with the price of oil/gasoline. So while the percentage may be greater the profits certainly aren't as large. When we start hearing news reports about the record-breaking profits of water utilities then I'll be interested but simply pointing out the percentage of profit is pretty irrelevant. That being said there obviously is a lot more to the story than blaming the oil companies but it shouldn't be difficult to see why people are complaining about oil company profits (whether you agree with the complaints or not) when gas prices are approaching $4. There is one big problem here….while the profit margin of a water utility may be 10% the price of water is not keeping pace with the price of oil/gasoline. So while the percentage may be greater the profits certainly aren’t as large. When we start hearing news reports about the record-breaking profits of water utilities then I’ll be interested but simply pointing out the percentage of profit is pretty irrelevant.
That being said there obviously is a lot more to the story than blaming the oil companies but it shouldn’t be difficult to see why people are complaining about oil company profits (whether you agree with the complaints or not) when gas prices are approaching $4.

]]>