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But it works the other way too. Why should I keep my gas prices so cheap
when every one else has raised theirs? Never thought about that did you? :-)
There is always demand. What are we going to do, stop driving to work?
Seriously, they say it's supply and demand, but have you seen any stations
run out of gas lately? Demand is not quite outstepping supply. It's more
like they have it figured out that you have to buy the gas, and every one
elses prices are up too, so we should be able to get a bigger cut of the
pie. Sure there are other issues in the industry, but it's not causing the
inflated prices. If it's so difficult to find gas, someone's got to end up
on the short end of the stick and not be able to get it. Either Casey's is
making lots of money compaired to the others, or all the stations around
here are pulling in about the same amount of profit, and paying the same
amount for bulk gas.
Now, back to the part about deregulation and utilities. The final answer to
deregulation would be
just like your current long distance. You tell your electric utility who to
buy your power from on the power exchange, and how much of it. When you over
run your power allocation, you pay demand rates. The problem? People forget
to mention that the system that delivers your power to you dosen't change.
It's still the same last mile provider you were always locked into. Now they
get to charge you what they really want to, instead of only being able to
charge you a little over cost, for maintaining the infrastructure. And you
have to pay, because there is no other people to deliver the
power/water/sewer/DSL/Phone. The last mile cannot be deregulated unless you
do some serious buildout and deal with some major issues with physics.
Shannon
-----Original Message-----
From: Mike Miller
To: EMAIL:PROTECTED
Sent: 6/7/01 5:05 PM
Subject: RE: [MLUG - DISCUSSION] DSL in the area ??
On Thu, 7 Jun 2001, Spurling, Shannon wrote:
> What good does it do to have a choice of gas stations if they all have
> the same price?
If there's more than one, you can go to the closest one.
If they have different prices, you can go to the cheapest one.
If all the stations with higher prices lower their price so that they
are
the same as the prices of the cheapest station, does that create some
disadvantange?
I know that we need competition, so don't tell me! :-)
Mike
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