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Author
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Topic: Gas Prices in your area
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Monte L Fullmer
Film God

Posts: 8367
From: Nampa, Idaho, USA
Registered: Nov 2004
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posted 11-06-2005 11:02 PM
quote: David Stambaugh I don't understand diesel pricing. Diesel is easier to produce, requires less refining. It always used to be cheaper
True, diesel is easier to "crack" than gasoline, but the demand for diesel is ten times less than the demand for gasoline. Thus, to manufacture diesel is more costly in the long run for the manufacturers who can't make a profit pricing diesel back to the glory days of 30 cents cheaper than gasoline when the demand is so low.
Once again, it's the "supply and demand" thingey. And with lease programs where one can get into a gas-guzzler vehicle on $250/month payments, then be "flushing the toilet" during the lease term, to where at the end of the term start over again with another lease and do the "toilet flushing" cycle all over again.
Forget about owning a vehicle-it's not heard of in these day and ages.
With this trend, automakers are rolling in the dough with the massive increase of gas guzzler vehicles on the road, thus massively continually increasing the demand for gas, which is shoving the price of diesel skywards with the demand plummeting downwards to just the "PowerStrokes", "Cummins" and "Detroit Allison" diesel users.
Only way for diesel prices to start to nose down is for GM to return making their diesel cars like they did back in the early 80's. But instead of taking a 350cid motor and converting this motor to diesel without the necessary modifications, start fom the ground up with a completely new design. But this will definitely drive the price of the car skyhigh, thus creating a no-win situation here for both GM and the consumer.
Yea, talk about gas prices, we folks here in Idaho are STILL higher than the rest of you folks out there - Posting $2.62/gal and this is going under the commerce department for investigation on why our prices are much higher than the rest of the union. And this is not the first time, that "price gouging" was under attack.
-Monte
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