WINNABLE Gas War

GAS WAR??
a GAS WAR idea that WILL work覧覧>
This was originally sent by a retired Coca Cola executive. It came from one of his engineer buddies who retired from Halliburton. It's worthy
ofyour consideration:
Join the resistance! I hear we are going to hit close to $4.00 a gallon bysummer and it might possibly go higher! Want gasoline prices to come down? We need to take some intelligent, united action.
Phillip Hollsworth offered this good idea. This makes MUCH MORE SENSE than the "don't buy gas on a certain day" campaign that was going around earlier!
The oil companies just laughed at that because they knew we wouldn't continue to "hurt" ourselves by refusing to buy gas. It was more of an inconvenience to us than it was a problem for them.
But whoever thought of THIS idea, has come up with a plan that can really work. Please read on and join with us!
By now you're probably thinking gasoline priced at about $1.50 is super cheap. Me too! It is currently $2.79 for regular unleaded in my town. Now that the oil companies and the OPEC nations have conditioned us to think that the cost of a gallon of gas is CHEAP at $1.50 - $1.75, we need to take aggressive action to teach them that BUYERS control the marketplace..... not sellers.
With the price of gasoline going up more each day, we consumers need to take action. The only way we are going to see the price of gas come down is if we hit someone in the pocketbook by not purchasing their gas! And, we can do that WITHOUT hurting ourselves.
How?
Since we all rely on our cars, we can't just stop buying gas. But we CAN have an impact on gas prices if we all act together to force a price war.
Here's the idea:
For the rest of 2007, DON'T purchase ANY gasoline from the two biggest companies (which now are one), EXXON and MOBIL. If they are not selling any gas, they will be inclined to reduce their prices. If they reduce their prices, the other companies will have to follow suit.
But to have an impact, we need to reach literally millions of Exxon and Mobil gas buyers. It's really simple to do!
Now, don't wimp out at this point.... keep reading and I'll explain how simple it is to reach millions of people.
I am sending this note to 30 people. If each of us sends it to at least ten more (30 x 10 = 300) ... and those 300 send it to at least ten more (300 x 10 = 3,000)... and so on... by the time the message reaches the sixth group of people, we will have reached over THREE MILLION consumers.
If those three million get excited and pass this on to ten friends each, then 30 million people will have been contacted! If it goes one level further, you guessed it..... THREE HUNDRED MILLION PEOPLE!!!
Again, all you have to do is send this to 10 people. That's all. (If you don't understand how we can reach 300 million and all you have to do is send this to 10 people.... Well, let's face it, you just aren't a mathematician. (But I am, so trust me on this one.) How long would all that take?
If each of us sends this e-mail out to ten more people within one day of receipt, all 300 MILLION people could conceivably be contacted within the next 8 days!!! I'll bet you didn't think you and I had that much potential, did you? Acting together we can make a difference. If this makes sense to you, please pass this message on.
I suggest that we not buy from EXXON/MOBIL UNTIL THEY LOWER THEIR PRICES TO THE $1.30 RANGE AND KEEP THEM DOWN.
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Jeff Gagnon wrote:

HA HA.
You are really stupid if you think this will work. If Americans refused to by from ExxonMobil (it is one company, not two), then the other companies will increase their prices because of the increased demand. Those Americans, like me, who will continue to buy from ExxonMobil, will then benefit, because ExxonMobil will have lower gas prices.
Are you really a big enough bunghole to really think that Americans will stop buying from ExxonMobil until gas prices go down to $1.30?
If the scheme had any effect, the only thing it would do is hurt the honest Americans who are independent retailers of ExxonMobil products.
Jeff
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snipped-for-privacy@webtv.net says...

OLD OLD news. It didn't work last time either. Please note what Economics Prof. Pat Welch of St. Louis University has to say about this plan.
Here's what www.snopes.com (http://www.snopes.com/politics/gasoline/gasout.asp ) has to say about it:
*Origins:* This year's litany of complaints about gasoline prices is a re-run of the same program from years past: Gasoline prices in the USA are too high; gasoline is a unique commodity whose price isn't subject to the usual market forces of supply and demand; OPEC and greedy American oil companies secretly manipulate the market to keep prices artificially high; and a simple boycott of a couple of brands of gasoline will rectify all this.
Oil companies can manipulate their prices somewhat by controlling how much gasoline they produce and where they sell it, but they can't alter the basics of supply and demand: prices go down when people buy less of a good, prices go up when people buy more of a good, and prices go _way_ up when demand outstrips available supply. The "gas out" schemes that propose to alter the demand side of the equation by shunning one or two specific brands of gasoline for a while won't work, however, because they're based on the misconception that an oil company's only outlet for gasoline is its own branded service stations. That isn't the case: gasoline is a fungible commodity, so if one oil company's product isn't being bought up in one particular market or outlet, it will simply sell its output to (or through) other outlets: Economics Prof. Pat Welch of St. Louis University says any boycott of "bad guy" gasoline in favor of "good guy" brands would have some unintended (and unhappy) results.
. . . Welch says the law of supply and demand is set in stone. "To meet the sudden demand," he says, "the good guys would have to buy gasoline wholesale from the bad guys, who are suddenly stuck with unwanted gasoline."
So motorists would end up . . . paying more for it, because they'd be buying it at fewer stations.
And yes, oil companies do buy and sell from one another. Mike Right of AAA Missouri says, "If a company has a station that can be served more economically by a competitor's refinery, they'll do it."
Right adds, "In some cases, gasoline retailers have no refinery at all. Some convenience-store chains sell a lot of gasoline ? and buy it all from somebody else's refinery." A boycott of a couple of brands of gasoline won't result in lower overall prices. Prices at all the non-boycotted outlets would rise due to the temporarily limited supply and increased demand, making the original prices look cheap by comparison. The shunned outlets could then make a killing by offering gasoline at its "normal" (i.e., pre-boycott) price or by selling off their output to the non-boycotted companies, who will need the extra supply to meet demand. The only person who really gets hurt in this proposed scheme is the service station operator, who has almost no control over the price of gasoline.
The only practical way of reducing gasoline prices is through the straightforward means of buying _less_ gasoline, not through a simple and painless scheme of just shifting _where_ we buy it. The inconvenience of driving less is a hardship too many people apparently aren't willing to endure, however.
--
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wrote:

So, if it's supply and demand, why aren't there gas stations running dry and lineups etc. There's enough supply out there, although more refineries couldn't hurt, so artificial shortages can't be manipulated into the pricing. The real cause of the high prices is the high price of oil, and the price of oil is artifically high thanks to commodity markets and their future oil prices -- it wouldn't surprise me if the oil companies are bidding the price up. When the price of oil goes up the oil companies make MORE profit than when the price is lower, so it's a WIN-WIN for the oil companies, and a LOSE-LOSE for us buyers. OPEC was happy with $25 oil, then the futures market over reacted and drove the price sky high. The futures market is like day traders, they just suck the life out of the commodity they're buying.
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You are an idiot. The price of oil goes up and up and up because as it becomes harder and harder to find and extract, we use more and more and more. And so do the Chinese and Indians (their auto markets are expanding very rapidly, as are their economies).
--
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No, you've been brain washed. The Chineese and Indian markets will affect oil supply someday, but not today my friend. When was the last time any gas station you went to didn't have all the gasoline you wanted?
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Father Guido wrote: <...>

How much oil are the Chinese and Indians using today? How much ten years ago?
BTW, they won't affect supply that much. They do affect demand.
The supply is there, but the demand is growing real fast.
Jeff
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[...]

Friday. But it was full again Saturday, with higher prices. (:
--
B.B. --I am not a goat! thegoat4 at airmail dot net

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Back when the government under Carter tried to regulate the supply. The gas became available when Reagan stopped regulating the supply and allowed the market to set the price. Economics 101 ;)
mike
wrote:

<snip>
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Here in Canada, most gasoline suppliers share refinery capacity.... If company "A" doesn't have a refinery that can supply a particular area they will trade with another supplier that may not have specific capacity in another region.
Now, a refinery must meet a certain portion of their total production capacity to break even..... if they exceed that, they start making more profit. Sharing refinery capacity is one way that these companies have of ensuring that they are operating in the black.
If you purchase Husky branded gas in northern Alberta... you may be buyiung gasolione produced at one of three facilities.... I could come from the Husky refinery near Calgary.... or it may come from Esso in Edmonton or Esso in Taylor, B.C. The gasoline is blended to "meet or exceed" the Husky Oil formula.
We are delusional if we believe that anything less than government intervention is going to fix this situation.....
OTOH, we could all start walking, riding bicycles or horses or even using public transportation where available to reduce our dependency on big oil....
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