3 ms·
If they "set" their prices lower, they'd run out of gas. Their competition would be selling for higher margins. You could also get a motorcycle.
by SamReidHughes 4y ago
If they "set" their prices lower, they'd run out of gas. Their competition would be selling for higher margins.
You could also get a motorcycle.
- klyrs 4y agoIt's rainy and snowy about 2/3 of the year where I live. So, yes, I could buy a motorcycle but that would be throwing good money after bad.
- SamReidHughes 4y agoThat's the Invisible Hand telling you to move to San Diego.
- klyrs 4y agoSome say it's the invisible hand telling me to accelerate climate change, people near the equator and/or sea level be damned. The invisible hand is an idiot.
- feet 4y agoThey definitely would not run out of gas. They have more than enough production capacity that they purposely are not using so they can restrict supply artificially and raise prices. They state this blatantly in earnings calls.
- SamReidHughes 4y agoThe context here was gas stations, not oil companies. The oil companies, as well, would only be slow-walking physical gasoline in hope of future price increases or, for refineries, cheaper inputs. Otherwise, they're missing out on profits by not selling it at current prices.