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Old 09-03-2005, 08:31 AM   #41 (permalink)
krwlz
Fledgling Dead Head
 
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Location: Clarkson U.
I just barely read through the arguments, and as much as I hate paying it I have to defend the gas stations here...

Say you purchesed so many gallons at 2.25... If you continue selling that gas at your standard markup, they wont always be enough profit to support another refil, because of the huge jumps in prices to the stations.

On the other side, you will find that there are gas stations who sometimes sell at BELOW COST, because of a drop in price of gas to them. They have to drop their prices to match regardless of what they paid for whats in their tank. If they don;t they simply sit on the expensive gasoline, because everyone else is charging a price reletive to the price to them.

My father was a tech. in the northeast (read, worked for a company that sold, fixed and installed gas pumps), and he has a pretty good handle on how that market works.
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