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Reaction to Michelle Obama saying, "For the first time, I am proud of my country"?

48 votes, 7 comments
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That's how markets work

Comment comment by Occams on 22 March 2008

I find it amusing how there are so many complaints about gas prices going up for the Easter holidays. The implication is that the oil companies or gas station owners are heartlessly exploiting the consumer need to use their cars for recreation over the break.

It is not that at all. It is simply the way markets work. Extra demand with fixed supply (in the time available) translates to higher prices. The only way to mitigate this effect is to increase competition, but that is not possible in the time available either.

It is no use examining costs as if they relate to prices. Prices are set at what the market will bear, and at Easter it will bear higher prices.

The money is going to those who benefit most from the gap between the steadily increasing bulk price and the rocketing retail price - the distributors.

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