If people will pay the $7 then by all means go for it....

As for the .gov, there already getting there taxes, they can kiss my arse.

The value of any product is what a customer will pay for it.  If they'll pay $7 per unit, then charge it.  At some point, Company B will most likely make the same/similar product and you'll be forced to respond in some way, shape or form.

I say make what you can while you can.

Ditto on telling .gov to kiss your ass.

HH

Quoted: Where are all the people that think oil companies are charging too much or want the .gov to "do something"?

I had a feeling that was what this is about.

Single company, fine.
Several companies, then it starts looking like price fixing.

Yeah, next I want to see the food prices go through the roof. Maybe people will not be able to even buy food anymore. That will teach those capitalist pigs.
It's funny to note how the oil companies have turned over 7 Billion in profits this quarter alone, yet the .gov keeps giving them tax breaks.

If you are manufacturing this "widgit" you NEED to sell at $7.

Always do a 3.5X factor on products you manufacture......especially when the volume is as low as this example.

That is if you want to pay ALL of your bills.

If the gov't does that and imposes a price cap lower than the equilibrium price determined by supply and demand, then the quantity demanded by the market will exceed the quantity supplied by producers.

In other words, there'll be a shortage.

Quoted: Quoted: Yeah, next I want to see the food prices go through the roof. Maybe people will not be able to even buy food anymore. That will teach those capitalist pigs. It's funny to note how the oil companies have turned over 7 Billion in profits this quarter alone, yet the .gov keeps giving them tax breaks. If people are willing to pay high prices for food, then yes, it WILL go through the roof and people will pay it.  Especially if is in short supply relative to demand.  Basic food BTW is VERY inelastic.

Uh, no


shipping companies, grocers, and pretty m uch every supplier of everything in the country are subject to the same gas prices we have to pay.  It is already driving up other prices out of necessity.  Food isn't really something we can realistically say "I'll boycott and prices will go down"  Wait and see, as long as gas is going up other products will be going up.  We're about to seem some serious inflation and outright full on economy fucking.  That means we will all be fucked. And for all the people out there that believe (like me) that there will actually be SHTF problems.  If it's gonna come, it'll be as soon as people can't afford the food anymore and try to take yours.  All the big money hungry bastard oil companies that are doing this, legal or not, are about to fuck us all seriously over the desire for more money than they will ever be able to spend.

After Germany's WWII surrender, the Allied occupation set price controls on everything, artifically setting prices for goods.  The result was that there was virtually nothing for sale in the legal market, and there was a thriving black market that used cigarettes and cognac as currency.  The German installed as head of the German central bank got fed up with the situation and one day announced on the radio that the Allies had ordered all price controls lifted and merchants were free to set whatever prices they liked.

The generals were pissed and asked the banker who gave him the order to do that, the advisors were telling them this was a terrible idea.  The German banker said "Yeah, all my advisors tell me the same thing."  But the black market disappeared overnight and the goods that used to be hidden out of sight went up for sale in the market.

Moral of the story: LEAVE THE MARKET ALONE.  The more authority or government tries to fiddle with it in order bring about some desired condition, the worse they make the situation.  Leave it alone, it all works out (with a few exceptions).

Quoted: Quoted: Quoted: Yeah, next I want to see the food prices go through the roof. Maybe people will not be able to even buy food anymore. That will teach those capitalist pigs. It's funny to note how the oil companies have turned over 7 Billion in profits this quarter alone, yet the .gov keeps giving them tax breaks. If people are willing to pay high prices for food, then yes, it WILL go through the roof and people will pay it.  Especially if is in short supply relative to demand.  Basic food BTW is VERY inelastic. Uh, no shipping companies, grocers, and pretty m uch every supplier of everything in the country are subject to the same gas prices we have to pay.  It is already driving up other prices out of necessity.  Food isn't really something we can realistically say "I'll boycott and prices will go down"

Maybe not but you can make substitutes.  Instead of eating steak and lobster you can substitute chicken or rice and beans.  Same with transportation.  If you get tired for paying $40 a week for gas just driving yourself to work you can join a car pool or take the bus. People react to incentives.

gasoline



edit: nevermind, I see that was pointed out already now