Tuesday, May 02, 2006

Gas is a gas


"Consumers around the nation have expressed concerns about what they have perceived as anticompetitive or otherwise unfair conduct by the world's major oil companies," said Attorney General Alberto Gonzales and Federal Trade Commission Chairman Deborah Platt Majoras. Their letter said federal agencies had substantially increased efforts to monitor, detect and prevent any violations of the law.

Something occurred to me that changed my opinion of the basic idea that the fuel market has any unfair or anticompetitive practices. I DO dismiss the record profits by oil companies because of the facts. More people than ever are driving thanks to richer countires. There are more cars than ever before thanks to richer countires. America has not added any new refineries since the 70s. The record profits are partly due to inflation. Lastly, centralization of oil and gas companies leads to large numbers.

Though i cannot readily dismiss the concerns of consumers. American consumers are probably the most astute and aware consumers in the world.
If a lot of Americans think somthing is fishy in the gas market, then I am inclined to at least hear out their concerns. Unfortunately, it has to be played out on the national scene.


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