Question:

Is this push for hybrid vehicles contributing to increased gas prices?

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See where I'm going with this? I know the ins and outs of supply and demand, but it would be horrible to find out that gas prices are going up due to less demand for gas (which would be due to the increased sales/use of hybrids and other fuel efficient vehicles).

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  1. No.  Decreased demand leads to decreased prices.  That's why economists have said the McCain/Clinton gas tax holiday proposal is a bad idea - because it would increase demand which would increase prices.


  2. Gas is a commodity, that means that if supply goes up, price will fall.  I don't quite understand the logic that if there is less demand for gas that it will make the price higher.

  3. Well, what you have said would be true IF and ONLY IF the supply of gasoline is monopolized by a few.  

    If there is no monopoly and it is a consumer products, then the price will go down.  However, since we had so many "mega mergers" back in the 1990s.  The number of Oil company were cut in half.  That is why they can increase prices when the demand is down.

  4. One excuse is good as another.

    Greed on a world wide scale.

    Don't worry they got 6 more to go.

  5. In some backwards perverted use of Keynsian-Style Demand-Side economics...yes it could be possible, but no educated Marketing Executive would implement that, even the greedy ones.  Artificially inflating prices on a product with a falling demand, only increases the rate at which the demand falls.  What you end up with is a stockpiling supply, excessive production, and wasted overhead.  What follows that are cuts, in production, capital, benefits,  jobs, etc...Just look at what GM and Ford have had to do with slumping demand and stockpiling supply.

    The "push for Hybirds" is a result of the high gas prices.  Raising Prices only results in raising the "Push", so that is a no win situation.  Prices are high now, not only from the Falling dollar as mentioned, but because decause demand(real demand as in sales not assumption of new technology) is still high.

  6. oil is traded in American dollars and when the American dollar falls, the price of oil goes up. There are alot of other factors that come into play when deciding on the price of oil, but the value of the dollar has the most significant affect.

  7. U are an --- backwards person. U are probably one of those people who'll milk a job 'cause you're afarid you'd run out of work too. I've worked along such. I am one of those idiots, that no matter how much and fast I worked ,I could always wind up finding something to do. And I also wound up getting more work , and work offers. You do also have a defeatist, dependant on what others do, attitude. Think big not small.

    You are begging to be the oil companies slave.

    Where u been lately? Don't you know that there is an eco revolution going on out there?

    People around the globe are working day and night to make this a innovative eco-friendly planet. And what is even a person like you doing on a environment questions site? You don't appear to care about the environment.

    The answer to all our current problems, is to become free of pollution making fuels. Then certain people up on the hill can kiss that "glass".

    Then we'll have a clean , drinkable water, and a clean safe envirenment without all kinds of deformities and desceases to animals and people. Everybody seems to be sick these days. It wasn't always like that . A hundred years ago adhd was never heard of , not even fifty years ago.

    IF everybody had that kind of attitude we'd still be in the stone age. Technology is good, if it's used for good.

  8. sounds about right when you consider W's white house policies

  9. Supply and demand don't determine gas prices.  Both are stable and we have plenty of oil for at least this generation.

    Price fixing by OPEC and speculation in the light sweet crude futures market does (gas prices follow closely the futures price).

    Very few of even the best investors know this, but light sweet crude is about to crash.  Explaining why would require a person to understand Elliot Wave Analysis.  Suffice it to say a grand mother of a top is forming.

    One caveat though.  Our old friend's the russians are threatening war with their neighbor georgia.  The specific area in question is involved with russian oil export.  If war breaks out (unlikely) oil will continue to rise for a time before crashing even harder.

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