Oil prices effect everything

As we well remember when oil prices spike we pay more for everything!  We pay more to heat our homes, operate our vehicles, and anything we bought that was trucked in to the store — pretty much covers everything.

Can someone explain why the prices for everything increase so quickly?

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16 Comments

Filed under Economics, Political Reform, The Economy, World Politics

16 responses to “Oil prices effect everything

  1. wicked

    Sure. Speculators. They set the price.

  2. Our station at Suppesville got hit with a stiff fine a few years back because he raised his prices. The only problem, the owner is a really good/fair guy. He’d do anything for anybody. They only reason he raised his prices is because his supplier told him to. But his supplier didn’t get fined. 😦

  3. Yep, Maurice is still there and open every day but Christmas. Only thing different is that they had to put in new pumps and have gone self service like the rest of the world. He was one of the last hold outs of an actual service station. Ticked me off that he got caught up in that fiasco because he’d never take advantage of ANYONE.

    • wicked

      Wow. I haven’t seen him for a good 10 years. I guess he doesn’t own the Station at Viola, or at least that’s what I heard. I lived out that way for 24 years.

      Small world. You and I may know each other.

      • I think it was shortly after the event I mentioned that he sold the Viola station. You can check out my blog by clicking on my name. I haven’t been posting a lot lately, but I’m sure you’ll find some familiar places by checking out the archives. I highlighted some of the stores in Norwich & Clonmel in my KSBorn & KSBornTalent blog (link on sidebar).

      • wicked

        I’m not familiar enough with Norwich, although I have some ex-cousins-in-law in that vicinity. Also a high school classmate at Suppes. But the pix are great! Thanks for sharing. I think my birthfamily was German Russian. Or was it Russian German? LOL I get confused.

      • Wicked – you’re more than welcome to come check out the Golden Wheat Chapter meetings. Or visit our library. It’s only open once a month, but the librarian will open it on request.

    • wicked

      You’re right. He’d never take advantage of anyone. In fact, I’m sure people have taken advantage of him.

  4. Moonshadow,

    Just in case you missed my post from a couple days ago — WordPress won’t let me change your ‘status’ unless you have an account set up. I don’t know if you want to do that, but if you do please let me know and then I’ll make a couple of clicks that will give you some options — starting a thread, editing your posts…

  5. A feeble attempt to respond to the question raised in the final paragraph of the header.

    In many industries, including grocery stores/supermarkets, gasoline and other petroleum-based products, retail pricing of widgets is not based upon the acquisition cost incurred for the widget in question. Rather, such pricing is predicated upon the replacement cost thereof. Thus, when the retailer receives notice that its total cost to acquire the widget for sale, including the costs of transporting the widget to the selling location, has increased, the retailer immediately increases the selling price of the widget, so that the increased cost of replacement is already covered. Yes, it’s supposed to work the same way if the replacement cost falls, but it never seems to do so at the same speed. There are valid resons for this, but as I am now falling asleep from reviewing my timeless prose above appearing, I’ll now stop, although I fear it is already too late…

  6. Is it true the U.S. gets a large amount of their oil from Canada? At least we can say American money is providing affordable quality health care for all citizens of some countries. Canadians sell their product to us and we buy it; then there’s our tax monies providing health care for Iraqi citizens…