Is it true that the government decides what the price of gas should be?

Question

Is the government telling the gas staions to keep the prices at $1.20 and etc.

Just so that you know, if we boycott SHELL and ESSO, and buy our gas from somewhere else. SHELL and ESSO (two big companies) won't get enough money and lower down their prices, so people could get gas from them. Then, all the companies will compete with each other and the price of gas will be low. I've heard that probably the price of gas will go to $2.00, but if we do this it won't happen

Answer 1

First gas just like any other product is driven by supply and demand.

The government actually is helping prices stay high by refusing to STOP buying crude oil to fill the strategic petroleum reserve.

Who makes more money off 1 gallon of gas?

The greedy oil companies or the government.

Yep, you guessed right the government makes more money in gasoline taxes than the oil companies who have to spend billions of dollars to go out and find it.

So actually the government does decide what the price of gasoline should be with sky high taxes.

Hope this helps.