Should Gas be $7.99?

[Michael]

This is a strange topic for forums, but I'm interested in your thoughts. This week, some cities in the southeast are experiencing a gas shortage in the wake of hurricane Ike. Many gas stations have no fuel and it's nearly impossible to find a gas station with any fuel left. In my opinion, the concept of "price gouging" is what caused the "shortage." If prices were substantially higher, consumers would have waited to buy gas and would have changed their buying and use habits to only drive when it was absolutely necessary. Prices between $3.99 and $4.29 per gallon are high, but in today's world those are the new normal high. A few people may have changed their driving habits this weekend because they couldn't get gas. However, if gas stations were truly free to raise prices in a way that reflects the available supply, consumers would have made the choice to stay home, not buy gas, and use their cars only for essential travel until prices come back down.

Now, there are many people who can't get to work or are at risk of running out of gas while looking for a station with fuel so they can get to work. Is it better to have gas available at $7.99 or no gas available at all? If you couldn't find gas, how would it impact your business?

[Michael T]

A few months ago, when gas prices spiked to just over $4 per gallon in this area, a change of habits was clearly evident. $7.99 could be good or bad. It could potentially be good in the sense that excess driving would be curtailed. However, it could also be really bad, not because of the price, but the IMPLIED fear that stations were on the verge of running out, thus causing a panic and run on the gas stations anyway. I really couldn't care what the ultimate price would be (well lets keep it under $15-$20 per gallon!), I'll adjust. I am simply for any solution that covers both issues mentioned before: good prioritazation of driving while quelling fears of a shortage along with the subsequent panic.

[bobamcabee]

Thankfully gas is back to the most reasonable level it's been in two years: $1.99. Now I can cruise around in my Hummer without having to worry about feeding my kids.

The problem is the oil companies continue to manipulate the markets. I'm all for a rise in prices so that it necessitates quickened efforts for developing affordable alternative fuel resources. But not to fatten the wallets of those who prey on our dependency.

Bob A. McAbee, esq.