>>>We were in Los Angeles a few days ago. At about 3:30 PM we filled the tank to prepare for our return trip home. As we paid the attendant, another employee increased the price by 10 cents a gallon. Man - talk about dynamic! I guess it was about to be rush hour and time to jack up the price? :)
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>>No, they need money to buy their next batch of gas which probably went up by $0.05/gal.
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>Gasoline is a commodity, a future to speculated on. Not a product anymore. The price fluctuates because corporate calls and says do this. Has nothing to do with the next delivery.
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>Watch the lumber prices at Home Depot. Another futures commodity driven by fear and greed rather than by production cost and demand.

How true!

Observation from California concerning gasoline prices since 1973.

The price of gasoline in California for Regular was 28.9 cents within most of the state during the beginning of 1973.. Since that time two things are apparent. If some perceived or real cause of an increase in oil price is presented, the price of gasoline will immediately rise! When the price of oil decreases it takes many months for the price of gasoline to decrease. I am never suprised to hear that our local oil companies profits continue to increase.

In California the oil refineries seem to take refineries off line for “maintenance” during peak demands, which helps to drive up prices. Combined with other factors demanded by law which requiring a special blend of gasoline, we cannot use a product from another state. We have a rash of refinery fires which close down facilities and drive up prices.

I must admit we are very spoiled when it comes to the price of gasoline in our country compared to other areas of the world. But we are talking about OUR WORLD – the United States, and I cannot rationalize higher prices being acceptable here because of the price elsewhere!

According to an inflation calculator that 28.9 cents for a gallon of regular gasoline in 1973 would be $1.21 in 2003.

http://www.westegg.com/inflation/

By the way according to my readings (not from the Internet) the oil crisis of October 1973 is a time of interest. Long lines to buy gasoline and many restrictions due to the Middle Eastern OPEC action to eliminate oil supplies were felt throughout the world. At that time those Middle Eastern OPEC members supplied the United States with 6% of our oil! According to the figures I have that number today is 60%! Things have really improved!

Tom