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9/22/2017 12:11:25 AM
Posted: 3/26/2006 6:48:30 PM EDT
I have seen signs on convenience stores that say this. Do some states tell merchants what price they can sell things for?
Link Posted: 3/26/2006 6:51:35 PM EDT

Originally Posted By Barrelburner:
I have seen signs on convenience stores that say this. Do some states tell merchants what price they can sell things for?



yeah, dont/ didnt some states do this with Liquor Too ?
Link Posted: 3/26/2006 6:58:35 PM EDT
Story has dropped off the live pages but I found this post on Freerepublic...

www.freerepublic.com/focus/f-news/1584840/posts

Midwest Oil fined for selling gas too cheaply
Star Tribune ^ | February 24, 2006 | Tom Ford,

Posted on 02/24/2006 9:23:20 AM PST by george76

The state imposed a $140,000 penalty for what it called "willful, continuing, and egregious" violations of the price law...

The Minnesota Commerce Department on Thursday announced plans to fine a gas station chain $140,000 for repeatedly selling gas below the state's legal minimum price.

The fine against Midwest Oil of Minnesota is twice as large as any imposed on a company since 2001, when the state established a formula based on wholesale prices, fees and taxes to determine a daily floor for gas prices.

Kevin Murphy, deputy commissioner of the department, called the violations "willful, continuing, and egregious and warrant a substantial penalty."

The company has 30 days to contest the fine by requesting a hearing.

In previous cases, companies were fined anywhere from $500 to $70,000 for selling gas too cheaply.

Gov. Tim Pawlenty and several Minnesota legislators have urged a repeal of the state's minimum price rules.

Critics have argued that it ends up costing most customers an extra dollar or more to fill up, without adding to tax revenues.
Link Posted: 3/26/2006 10:03:30 PM EDT
Yeah, kind of funny how politicians talk about the evils of "Big Oil" and "Big Tobacco" companies when in reality, the government is setting the prices.

Of course, government takes a huge cut of the take on all those items. Nevada gets 80 cents excise tax per pack of cigarettes plus approximately 7% sales tax.
Link Posted: 3/26/2006 10:17:58 PM EDT
There was this gas station down the street from my campus that was going out of business right before spring break this month. Walked in there and they were selling packs soo cheap. I told him to give me $10 worth and got 42 packs. Due to problems from famly/relationship they were gone in a week.
Link Posted: 3/27/2006 1:22:05 AM EDT
Look at the top of a pack of smokes. There's a tax stamp on it. That shows that the state taxes have been paid on the cigarettes. When you see a convenience store or other retailer selling smokes for below the "state allowed" price, they're usually selling cigarettes that have been smuggled from a state with lower taxes.

Some retailers near military bases will also illegally re-sell cigarettes that originally came from a PX.
Link Posted: 3/27/2006 1:40:47 AM EDT

Originally Posted By 1BMF:
There was this gas station down the street from my campus that was going out of business right before spring break this month. Walked in there and they were selling packs soo cheap. I told him to give me $10 worth and got 42 packs. Due to problems from famly/relationship they were gone in a week.



So they sold you cigs for .23 cents a pack and then you smoked 6 packs a day huh?



You oughta change your name from 1BMF to 1BL.
Link Posted: 3/27/2006 1:44:58 AM EDT
Essentially, yes. The state determines a set price...and the merchant cannot sell 'below' the set price.
Link Posted: 3/27/2006 2:39:24 AM EDT

Originally Posted By Hipster:
Yeah, kind of funny how politicians talk about the evils of "Big Oil" and "Big Tobacco" companies when in reality, the government is setting the prices.

Of course, government takes a huge cut of the take on all those items. Nevada gets 80 cents excise tax per pack of cigarettes plus approximately 7% sales tax.




Thats how they capture lost revenues from the no state tax.
Good, hit the smoker's wallet
Link Posted: 3/27/2006 2:49:22 AM EDT

Originally Posted By MTUSA:

Good, hit the smoker's wallet



That's right. Yay for exorbitant taxes and state sponsored interference in private commerce!



Link Posted: 3/27/2006 5:40:44 AM EDT
I don't smoke anymore quit a long time ago. But it's amazing the difference in prices from state to state.
Link Posted: 3/27/2006 6:02:07 AM EDT
Interesting how we watch this so-called capitalistic free society go to hell and never even notice.
Our tyrants have been out of control for far too long.
Link Posted: 3/27/2006 6:11:14 AM EDT
I know that back in the 70s there was a minimum price Alabama stores could charge for milk. I was in one while a state inspector came in and checked up on my local grocery store.

OJ, sugar, peanuts, tobacco- the .gov has/has had it's grubby little paws in all of these operations. One reason Coke has no cane sugar in it anymore.
Link Posted: 3/27/2006 9:17:10 AM EDT

Originally Posted By callgood:
I know that back in the 70s there was a minimum price Alabama stores could charge for milk. I was in one while a state inspector came in and checked up on my local grocery store.

OJ, sugar, peanuts, tobacco- the .gov has/has had it's grubby little paws in all of these operations. One reason Coke has no cane sugar in it anymore.



Does anybody know how it is that government is ALLOWED to set minimum prices on these or other items?
Link Posted: 3/27/2006 9:23:56 AM EDT

Originally Posted By hatebreed:


Does anybody know how it is that government is ALLOWED to set minimum prices on these or other items?



Because they are the freakin government. Doesn't have to make sense, or even be right.

I wonder if it relates to sales tax. Minimum sales price = not less than $X in tax?
I know some stores used to use these items as "loss leaders" You are going there for a one dollar pack of smokes, so you may as well get your gas and soda there, too. Somebody probably bitched and whined about a competitor's price.
That is also why you see alot of multi-pack deals, now. Buy two, get one free. Rebates also get around minimum selling prices.
Link Posted: 3/27/2006 9:35:28 AM EDT

Originally Posted By 10mmFan:
Interesting how we watch this so-called capitalistic free society go to hell and never even notice.
Our tyrants have been out of control for far too long.

Link Posted: 3/27/2006 12:59:08 PM EDT
What prices the govt. doesn't control the manufacturers do. It's called MAP. Minimum advertised pricing. Virtually every name brand does it from Prilosec to Sony. And that my friends is the short story of what happened to the small town merchants like TV stores (remember them?) and small drug stores. Also why CVS, Walgreen's and Eckerds can afford the most expensive corners in town. No price wars, just make sure you find a way to get your share of the market.

So in today's game the biggest guy is the winner by default. Hello Wally-world!
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