2006-07-23 16:41:20 · 9 answers · asked by Anonymous in Social Science ➔ Economics
If the government does so, it will cause a drop in supply. One of the atlantic canadian provinces just put a regulated cap on gas prices and some of the independent gas stations are planning to close up shop.
The market price is what the product is worth. Simple as that. Interference will cause more harm than good.
2006-07-23 16:51:10 · answer #1 · answered by dutch_llb 3 · 5⤊ 0⤋
Ooh, you don't remember when president Nixon created price freezes in the early 70s do you? They didn't work. We went into a nasty recession, and then had a thing called stagflation. Prices went up even though nobody could afford it.
And what are you going to do for all the people who lose their jobs if you cap prices? Where are you going to buy gas from when the stations shut down?
2006-07-23 23:47:08 · answer #2 · answered by Jay V 1 · 0⤊ 0⤋
Do you want the government to control the price of everything or just gas for now?
2006-07-23 23:45:01 · answer #3 · answered by Bear Naked 6 · 0⤊ 0⤋
They did - about 30 years ago during a similar gas shortage -- & it was a disaster. It led to immediate gas shortages & people waiting hours at pumps & led to a plan for rationing via stamps, just like in WWII.
High prices act as a rationing device. People who want something bad enough will pay the price for it & others will use less. Price controls ALWAYS lead to shortages.
2006-07-23 23:49:42 · answer #4 · answered by Anonymous · 0⤊ 0⤋
Because this is a free market, and the gas companies are private businesses. NOTE: Read your history books. Every stinkin' time the government meddles in the private business sector, they make a mess. Every time.
2006-07-23 23:48:45 · answer #5 · answered by dgindiansfan 4 · 0⤊ 0⤋
It's called free trade. If you start capping gas what will be next?
2006-07-23 23:45:15 · answer #6 · answered by Flower Girl 6 · 0⤊ 0⤋
they are earning tax dollars from the sale of gas. the hirer the price the bigger the tax bill.
2006-07-23 23:46:00 · answer #7 · answered by Anonymous · 0⤊ 0⤋
One of the reasons is that they want to turn us (America) into a third world country...and are doing it
2006-07-23 23:56:11 · answer #8 · answered by doggybag300 6 · 0⤊ 0⤋
liberals
democrats
hippies
gays
just to start
2006-07-23 23:45:02 · answer #9 · answered by Anonymous · 0⤊ 0⤋