What do they mean "investigate price gouging" related to gas prices?

[Whoson1st]

I don't really understand what this means? "price gouging"? In a country such as the US which worships free enterprise, where is the problem?

I guess if they were talking about a hospital overcharging for anything under the sun, that's ok? Not price "gouging". Although, I actually COULD understand if someone were charged with an unlawfull act, because it's health related.
But, what do they mean when US Senators are urging the President to invsetigate the oil companies for "price gouging"? If anyone can explain this to me...I would appreciate it.

 

[Masxmenos]

I don't really understand what this means? "price gouging"? In a country such as the US which worships free enterprise, where is the problem?

I guess if they were talking about a hospital overcharging for anything under the sun, that's ok? Not price "gouging". Although, I actually COULD understand if someone were charged with an unlawfull act, because it's health related.
But, what do they mean when US Senators are urging the President to invsetigate the oil companies for "price gouging"? If anyone can explain this to me...I would appreciate it.

It is illegal for US companies to work in tandem to price fix. That would be what I think they man by "price gouging". 1 penny a barrel times millions of barrels a day makes a lot of profit. I am sure the CIA fact book shos our annual consumption of oil.

BDizzle

 

[Masxmenos]

I am gonna go out on a limb and say that big oil companies are telling the OPEC countries barrel prices to go higher and then taking "kickbacks". I wouldn't be suprised if we see a news story about this within the year... then comes the class action lawsuits and XOM stock to tumble. Stay tuned I guess...


BDiz...

 

[Whoson1st]

illegal to "work in tandem". Ok, kinda hazy to me but I get the drift. In other words as long as they don't work "together" it's ok.
Unreal.
There are only a few major oil companies anyway in the US.

 

[Masxmenos]

illegal to "work in tandem". Ok, kinda hazy to me but I get the drift. In other words as long as they don't work "together" it's ok.
Unreal.
There are only a few major oil companies anyway in the US.

Yes, because if they don't work in tandem... then the market is "choosing" the prouct and price not having it "dictated" to them.

I think it was Samsung in Korea that was busted within the last year for this or some computer memory companies. But if you do a search you will see an example of this tactic.

BDiz...

 

[Whoson1st]

Yes, because if they don't work in tandem... then the market is "choosing" the prouct and price not having it "dictated" to them.

I think it was Samsung in Korea that was busted within the last year for this or some computer memory companies. But if you do a search you will see an example of this tactic.

BDiz...

Where I get lost with this idea is....Suppose Exon was to buy out the couple of other oil companies...No more problem with "working in tandem". Could they not simply charge whatever the market would pay?

 

[Masxmenos]

Where I get lost with this idea is....Suppose Exon was to buy out the couple of other oil companies...No more problem with "working in tandem". Could they not simply charge whatever the market would pay?

They still have to get SEC approval for the buyout to make sure this "tadem" strategy isn't in place. This would be called a monopoly and the SEC regulates this action. The SEC's job is to create a "free" and "fair" trade market in the US.

BDizzle

 

[Masxmenos]

illegal to "work in tandem". Ok, kinda hazy to me but I get the drift. In other words as long as they don't work "together" it's ok.
Unreal.
There are only a few major oil companies anyway in the US.

There are actually quite a few... we just only hear about two
1. Chevron Texaco
2. Exxon Mobil

Then you have the Sunocos, The Valeros, etc and you also have foreign companies like BP, Shell, and PDVSA (Citgo).

BDiz...

 

[Whoson1st]

90 to 95% of people driving on the highways totally IGNORE the SPEED Limit.

I drive whatever the limit is and am scared for my life with the way the traffic FLYS BY !! Yet these same folks complain about Gas Prices! That's what ticks me OFF!!

Don't get me wrong, I hate the corporate greed. I have to buy gas too! But do people REALLY care with the way they drive AND the SUV's they CONTINUE to buy?



A hospital (not the doctor) can charge EXHORBANT fees --yet no "price gouging" there!

 

[Masxmenos]

A hospital (not the doctor) can charge EXHORBANT fees --yet no "price gouging" there!

You have the choice to pick your doctor and I am sure cheaper ones are available. But you also have to take into account John Edwards and company are the trial lawyers suing doctors for "mal practice" which in turn raises insurance rates and therefore costing you more at the doctor. Docors have no choice, the must carry mal practice insurance. Sad, but true. So next time you vote Democrat think about whther they "really" do care about access to medical care for everyone.

Vote Libertarian!

BDiz...

 

[Whoson1st]

You have the choice to pick your doctor and I am sure cheaper ones are available. But you also have to take into account John Edwards and company are the trial lawyers suing doctors for "mal practice" which in turn raises insurance rates and therefore costing you more at the doctor. Docors have no choice, the must carry mal practice insurance. Sad, but true. So next time you vote Democrat think about whther they "really" do care about access to medical care for everyone.

Vote Libertarian!

BDiz...

I did not include the doctors. The HOSPITALS....without even seeing a doctor is where the price gouging takes place. Nothing whatsoever to do with a trial lawyer.

 

[Whoson1st]

I say let the oil companies charge WHATEVER the market will bare! Be consistent. Let the government stay OUT of it!

What choice does a patient have when he is taken to an emergency room?

 

[levistep]

I don't really understand what this means? "price gouging"? In a country such as the US which worships free enterprise, where is the problem?

I guess if they were talking about a hospital overcharging for anything under the sun, that's ok? Not price "gouging". Although, I actually COULD understand if someone were charged with an unlawfull act, because it's health related.
But, what do they mean when US Senators are urging the President to invsetigate the oil companies for "price gouging"? If anyone can explain this to me...I would appreciate it.

Price gouging doesn't exist, unless the government is causing it.

 

[levistep]

I say let the oil companies charge WHATEVER the market will bare! Be consistent. Let the government stay OUT of it!

There ya go.