Wait. Supply & Demand Applies to OIL?!

I love how the news has started reporting on rising gas prices.

Oh no, gas is up to $2.60 a gallon!

I know that I am abnormally intelligent, but does anyone else remember that gas prices have gone up every summer since Custer fueled up for his last stand? Many people fail to understand the most simple laws of economics, like supply and demand. People drive more in the summer, thus they use more gas, thus it costs more.

It’s not a vast conspiracy of collusion by oil companies. It’s not even seedy Wall Street speculators driving up the price because they’re trying to hedge against the housing bubble. It just happens. Every single year.

If you want gas prices to be lower in the summer, try taking your vacation in the winter. If half the people did that, at least the gas prices would stay consistent throughout the year even if it did make them a little higher overall.

It’s silly to panic over gas prices anyhow. The world didn’t come to an end last year when gas was $4.30 a gallon. We all just drove less or we spent less on entertainment.

The world isn’t coming to an end. Nobody’s trying to screw you.

  2 comments for “Wait. Supply & Demand Applies to OIL?!

  1. June 6, 2009 at 11:22 am

    Oh, so THAT’S why gas has gone up recently! And no, nobody is trying to screw me right now. 😉

  2. syn_ack89
    June 6, 2009 at 6:19 pm

    Actually, I think everyone is trying to screw us…but it’s just the normal summer screwing and not special screwing.

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