Why the Surge in Gas Prices?
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The price of gasoline rose 10 cents per gallon this week in the Pinehurst area. Gas increases of this amount are unusual in light of oil prices dropping to near annual lows. Is this a coincidence or to coincide with the U.S. Kids World Golf event in town this week?
I’m embarrassed that local gas retailers are so quick to pick the pockets of our visiting golf guests.
Tom Wittel
West End
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Comments
JER 1 year, 9 months ago
I'm sure there was no evil intent by these fine American businessmen. Surly they were just trying to boost the economy and provide much needed jobs. Were it not for those pesky regulations and restrictions...like having their pumps checked to insure accurate flow readings, they might have boosted the economy even more than they did.
DaveyNC 1 year, 9 months ago
I drive 120 miles a day and track my purchases. Gas has been exactly $3.67 a gallon since July 22, so not sure what you are talking about. I usually fill up at the Hess station on Hwy 1, across from Town & Country shopping center.
One silver lining to the recent turmoil in the markets is that oil prices have dropped quite a bit. Should see lower pump prices this week.
hcaeb 1 year, 9 months ago
I traveled to Raleigh last week and the price of gas in Sanford on US #1 was $3.54. Moore County always has high prices. Should we tell the powers to be in Raleigh to investigate?
moonchild7 1 year, 9 months ago
GREED & CORRUPTION. What else is new? Ever since people like me had to get up early to get in the gas lines in the 70's just to be able to get a few gallons of gas, it's been CORRUPT. Why? Because there was plenty of oil sitting in the Tankers sitting off shore NOT DELIVERING...so as to make for a FAKE CRISIS. Just like all of the FAKE crisis' now.
DaveyNC 1 year, 9 months ago
MC7, do you ever respond to anything without believing that GREED & CORRUPTION is the cause?
Oil and gas prices are dictated by market forces. They're as much a commodity as sugar or cotton. Why don't we ever see letters like this complaining about all the GREED & CORRUPTION in the pricing of coffee?
CNMT 1 year, 9 months ago
It is bad enough that they take advantage of the visitors to Moore County, but they are also taking advantage of the residents of Moore County also! Gas prices in Moore County are always 10 - 20 cents a gallon more than surrounding counties and no one has ever been able to explain that to me so maybe Mr. Wittel has a point!
hcaeb 1 year, 9 months ago
So why don't we all get together and let the higher ups in Raleigh be aware of this. Maybe they will get the message. Just say yes I will report.
JER 1 year, 9 months ago
Gas prices differ from county to county because of the different tax rates each county has on gasoline. That tax rate difference also occurs on a state level, which is why South Carolina and Virginia gas prices are always lower than the NC prices. Anyone who thinks local merchants don't jack up prices for special events has never attended a special event. My job required me to travel to locations holding special events every week. I have paid $200.00 a night for a $65.00 a night hotel room and I have seen the price of gas go up at every area gas station by 20 to 50 cents per gallon in advance of the special event. I had to pay these prices because of my job but guess what, my employer simply incorporated these obscene costs into the pricing of their product and the customer ended up paying more for our product than they should have. Corporate greed has a big ripple effect.
CNMT 1 year, 9 months ago
It would be different if it was only for a weekend or even a week for a special event - but year round just because we are a "golf resort community"????? What about the poor people who work at those "resorts" so those rich golfers can come play? Don't they deserve the right to keep some of that hard earned money they make??? And then there are the rest of the people who work in area restaurants, etc. serving those golfers - they deserve the same. Unfortunately it is not feasible to purchase all of our fuel out of county - my husband does daily as he drives out of county to work. I don't have that option as I work and live in Moore County. It would be interesting if someone could prove they are price gouging the residents of Moore County.
emb6683 1 year, 9 months ago
The NC gas tax is 32.5 cents per gal, compared to SC, which is only 16.0 cents per gal and 17.5 cents in VA.
But NC sales tax is not applied to gasoline, so how does the tax rate vary by county? There is not an additional county gas tax.
Toda 1 year, 9 months ago
Gas is always higher in Poorer County. The reason I was given by one chain distributor, because it's a resort area...?? Well kiss my grits. They should have a key on pumps that designates visitor or resident. We make several trips to UNC CH Hospitals a week, and all of my gas is purchased in Sanford, which is as much as 10 c a gallon less than Poorer County. Plan trips well so out of county purchases are in your trip plans. Graham had gas prices @ $3.52 this weekend. Perhaps local greedy pump stations will get the message.
native 1 year, 9 months ago
I always get gas when I leave the county. Actually Raeford is not that far to drive for gas.
greentara13 1 year, 9 months ago
I bought gas in Cameron this weekend for 3.45. Funny how it was 3.71 in Carthage. Even Raleigh was 3.56 (lowest) 3.69 (highest).
ProudYankee 1 year, 9 months ago
As someone who has been in the gasoline business, you charge what the market will pay. If there are 3 or 4 stations in town, they will usually be within 2 cents or so of each other. If you are hitting your target gallons per month at say $3.65, why drop to $3.55, just because someone in the next county is charging that? You maintain your price, and more importantly, your profit margin, until market conditions dictate otherwise.
DaveyNC 1 year, 9 months ago
Kee-rect. I don't know why people think that a seller of anything wants to sell his goods for the least amount of money. Sellers want the most that someone will pay.
It cracks me up whenever I have sold a car in the past and the good ol' boy looks at me out of the side of his face, hitches his pants and then pulls out that most devastating of negotiating ploys: "What's the least ye'll take fer it?"
As if I am going to negotiate against myself. My standard answer is, "The most you will pay for it."
That gets some funny looks.
Arestorer 1 year, 9 months ago
REASON ?? =$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$
Toda 1 year, 9 months ago
Triple A came out with one of their convoluted assessments on why dropping prices as much as 50$ a barrel takes so long to be reflected at the pump. Quote: "price changes at the pump takes time to due to marginal indexes". Well kiss my grits. Wall Street can smell an increase, and the pump prices increase 10c a gallon in a matter of minutes. Ever stop to buy gas and while you are pumping the electronic sign changes in mid stream? The gas in the underground tank is the same that was there when you started pumping...Wall Street artificially increased the price on the same gas tank. Now when the proverbial trickle down effect takes place, it's all about huge profits for Hedge funds. The same ones under GWB who almost sent us into a depression in September 2008!
JER 1 year, 9 months ago
Well said!!
DaveyNC 1 year, 9 months ago
The price goes up fast because the seller must cover that higher replacement cost as quickly as possible or not be able to buy more product. It comes down slower because every once in a while, they need to make some money.
What you're watching is a free and open market in operation, except for the fact that the state will only allow stations to change their prices once a day (not 100% positive on that, but seems that I read that somewhere once). If they allowed prices to float freely, you could probably buy gas at a huge discount at 2 in the morning and a big premium at peak times like morning or afternoon drive times. If prices could float, it would be like a stock with prices going up or down as demand changed. Quickly, people would figure out the best time for them to get gas.
We'd probably drive around looking for empty gas stations since that would mean that station's prices would be low.
JER 1 year, 9 months ago
DaveyNC, Wow, what a brilliant idea, a floating gas price. We could all drive around seeking the ideal time and place to fill up. Let's look at this idea a little closer. If gas was in the $2.50 per gallon range and shot up to $2.75 a gallon during peak periods and fell to $2.25 per gallon during slack periods (like 3:00 AM), exactly what could be gained by searching out that ideal time and place to fill up? If you vehicle gets 25 miles per gallon and has a 14 gallon gas tank, here is how it would work out for you: If you bought 12 gallons at the $2.50 price, you'll pay $30.00 for the fill up. If you buy during that peak period, the fill up will set you back $33.00. Should you get up at 3:00 AM and drive around to find the $2.25 per gallon price, you'll be charged $27.00. Now for the real economics of this example: If you have to drive more than 12 1/2 miles one way to find the gas station with the cheapest price (25 miles round trip), you will have burned a gallon of gas in doing so and will have almost completly eliminated the savings you got for getting up at 3:00 AM. I suggest you petition the government and demand they let the gas prices float, this sounds like a real bargain for all who think like DaveyNC.
JER 1 year, 9 months ago
I would say one of two things have changed. Either the Obama administration now controls Opec and the market on oil and is making the price of gas go up so that we can more quickly become a communist/socialist country...or, the businessmen and women involved in the oil business are screwing us over even more than when W (the oil man) was in office. I'll give you a chance to think this over before I tell you it ain't option #1.