why are gas prices so high?

Answer 1

Because some government wanted to move away from a strong currency without letting on. having done that it suddenly realized that since crude oil is priced in the said currency the net effect would be an increase in the price, one thing led to another and everyone in the world realized that crude oil would need to rise 50 pct to take into account the drop in value of the currency its measured by. Of course once the ball was rolling it couldn't be stopped this led to worries of inflation in other country's so they increased there interest rates to stabilize inflation again increasing there currency's value against the said currency again weakening it further so crude oil had to rise further, in the meantime there was a mad rush to try and hedge (buy) future exposure to oil, and certain country's made insinuating remarks that there was insufficient supply to meet current demand, so crude went up again and so on and so on. needless to say your 3 or 4 usd's a gallon is more or less the same price in real terms you were paying for it a few years ago, but because your currency has weakened against the rest of the world you have to pay more for those goods, example a bottle of whiskey costs £10 back before the moves that would have been $12 however that whiskey is still £10 but it now costs you $20, that's the cost of not having a strong dollar policy, even though your guys keep trying to tell you otherwise.

Answer 2

Okay Mr. Spears,
i am sure you are a professional and your answer "sounded" good and i am sure it is true on most points- but since your the professional I guess I'll believe you except for the fact that Big Corp. are raking in MAJOR profit. SO since they make a gizillion dollars a second dontcha think they could give us a little break. Certainly me being the peon I am living here in the sticks of Alabama could care less about strikes or shutdowns when I know we have the goods (gas). yeah we burn alot of gas cuz- well that is just the way it has to be.I am sure you either completely blind to the raping occuring at every corner store or you actually believe everything your boss tells you in both cases you are sure to get a raise for spreading this propaganda to such a huge audience.

Gas prices are so high because the rich LOVE to get richer.
Especially if it means the poor will get poorer.

Haliburton- hmm does that ring a bell?

Answer 3

I don't know all the reasons that gas prices are so high, but my fiance's father runs oil rigs in Mexico, and he has given me some insight as to why they may be going up. A lot of oil rigs are shutting down due to hurricane season, and also there are a lot of oil company's that are choosing to move their rigs from the Gulf of Mexico, to overseas areas. Therefore, I assume that the U.S is going to have to start buying oil from other countries, therefore the gas price is rising. I have also heard, that since an active hurricane season is predicted, gas stations are raising their prices now, so whenever the season starts, they cannot be accused of price gauging (raising the prices to high) whenever a hurricane hits. Hope I have helped a little bit.

Answer 4

WRONG! WRONG! WRONG! The major companies have RECORD PROFITS. In a capitalistic system an increase in supply costs leads to a DECREASE in PROFITS. This is High School Economics. Probably most people in the USA never studied it.

All other answers are symptoms and inconsequential. Because the oil cartel/oil government has no competition then the prices (AND RECORD PROFITS) will continue to increase. An old proverb says the rich man continue to increase the load on his workers until the worker's back breaks. The same is true with the energy overlords.

Answer 5

China is feeding at the well head as is India and much of Europe.

We haven't drilled a well in decades and we haven't built a refinery since Carter was President.

Like anything else, if you want it you have to pay more than the other guy or it will be sold to the other guy. It's called supply and demand.

And the guy who wants you to spell Bush, should learn to spell TAX and EPA. A big chunk of your dollars go to the government and another big chunk goes to appease the the government.

If you want to try an experiment research average gas prices per state. Now arrange them for the lowest to the highest. Then check and see which states have Dem and which have Rep majorities in their state house. And just for clarification make sure it is the state houses you check, not the Governors office. I live in California. We rank in the top few and it is mostly tax that drives it that way. They rape us for fuel tax and back social programs with the money so we have to vote a bond to fix the roads. I would love for the Rep, or any foul name anyone wants to call them, to take over this bastion of social welfare for at least a few years.

BTW, I am way to conservative to be a part of the Republican Party. I have no party, it's me alone.

Answer 6

every single previous poster was flat out wrong.
the reason gas prices are so high, is because the gas companies are working together to inflate the prices, then say its about 'supply and demand'.
http://www.consumerwatchdog.org/pr/?postId=5110
"Internal Memos Show Oil Companies Intentionally Limited Refining Capacity To Drive Up Gasoline Prices"

The Foundation for Taxpayer and Consumer Rights (FTCR) today exposed internal oil company memos that show how the industry intentionally reduced domestic refining capacity to drive up profits. The exposure comes in the wake of Hurricane Katrina as the oil industry blames environmental regulation for limiting number of U.S. refineries

This is why the democrats wanted to force the oil executives to swear in during the congressional hearings. Thanks to ted stevens of alaska, he refused to take a vote.
The oil companies working together to drive up costs is ILLEAGAL.
This is what you call 'price-fixing'.

Answer 7

without writing a book on the subject i think three little words can describe why its like it is supply,demand and greed,no matter what the answer is, these 3 words seem to always pop up in any answer,and if you,ll notice,there is no exact answer to this question ,all we can do is guess,the only people who know for sure are the ones raising the price,those are the ones that need to be here right now answering this question,good luck with it.

Answer 8

first, crude production has decreased. many refineries are running at half capacity because they're installing "greener" equipment and repairing older equipment. so supply is down.

second, the demand is at an all time high. the high prices haven't stopped drivers in the US from filling the tank. also you have to figure in china and india's extreme demand for oil.

low supply + high demand = high prices

Answer 9

Cause we have a government causing conflict which limits the amount of gas certain places in the world want to export to us. Also a lot of it has to do with the cost to transport it.

You can't complain though gas has not followed the rate of inflation over the years and gas in Europe is over $6 a gallon and has been for many years and they don't complain.

Answer 10

Because the majority of Americans are stupid for electing George Bush, who is connected to the Halliburton "community", who basically is responsible for the import of oil to refine for fuel usage for vehicles and such. The high prices are simply to fill their pockets, if they really cared about Americans, gas prices wouldn't be so high.

I'm proud of being an American, but ashamed of the Government we have.