Gas vs. milk?

[gmblack3a]

Do most goverment workers still have a pension?

[a.k.a. Patrick]

I belong to Cal P.E.R.S.........Public Employees Retirment System.

[gmblack3a]

I belong to "I used to have one" now I belong to "the new plan won't get me shiat"

[todd@bsaw]

Just from a market standpoint, I though that staples (milk, bread, eggs...) do not follow the same traditional supply/demand rules.

[kkjv1]

Originally Posted by a.k.a. Patrick

...When oil was $95.00 a barrel, gas was near $4.00. Now with oil at $104.00 a barrel, its heading to near $4.00 a gallon, again. Theres something wrong with that equation. 10% increase in raw material, but end price still the same. So just where did/does that 10% go?...

I hear you man and it sucks seeing gas prices go up so fast in a short amount of time. One saving grace though, at least we are not paying at the levels of our European country counterparts. I think they are paying about $8-$9 per gallon. Now that's some crazy prices.

[themightytimmah]

Originally Posted by todd@bsaw

Just from a market standpoint, I though that staples (milk, bread, eggs...) do not follow the same traditional supply/demand rules.

They're inelastic goods, due to the poor number of alternatives. Milk is killing me right now (I drink a ton of coffee) at 4 bucks a gallon for off-brand and *7* for the good stuff. And premium just hit 3.79 at the station across from school.

[weekendwarrior]

Regarding trucking costs, I work in logistics. It is kind of a crazy time right now...the flatbed truckers don't have a lot of products to haul, because most of what flatbeds haul are building products, and building products are down due to a slowdown in the building industry. So, what you have is a lack of supply of freight for them to move, which drives the rates down, all while diesel prices are going up. Meanwhile, truckers are having to deadhead further to pick up a load due to the lack of available freight, while doing so for less money, and are paying more for fuel. Just about every other day, I hear of a flatbed carrier that has gone out of business.

[rjstaaf]

Originally Posted by a.k.a. Patrick

I dont get it. A Gal of milk is running about $3.50, and so is gasoline. Last I understood it, cow eats grass, cow is mechanically milked, milked shipped to processing plant, homogenized, bottled, shipped to retailer, and sold to the consumer. This can all take place from cow to shelf in roughly two days.
Now gasoline on the other hand starts below ground as crude oil, and is refined numerous times. Contains well over a dozen hazardous chemicals, all of which must meet strict OSHA or other Federal regulations.
It just seems to me that either milk is way overpriced, or were getting a heck of a deal at $3.50 a gal for gas?
Interesting facts, theres only one other country which produces more milk then the USA, thats India. The United States accounts for nearly 1/2 of the worlds gasoline consumption.

To add to the confusion guess how much a gallon of inket printer ink will run ya, do the math it is around $3000 and up. Wait until the oil companies figure out they are in the wrong business

The Grouse: The Inkjet Refill Racket | Popular Science

[Len_A]

Originally Posted by gmblack3a

I belong to "I used to have one" now I belong to "the new plan won't get me shiat"

And I belong to the "I just got my last unemployment check and now I have to dip into my IRA" club, after six months out of work, few interviews, and not only no decent offers, no crappy offers either. The Detroit area is going to hell in a handcart, and my twenty-five years experience and a degree aren't worth sh*t here.

Now with gas prices skyrocketing, along with milk, meat, and other staples, and the rest of the nation economy spiraling to a crash, on God knows where this is going to lead to, and when this levels off or bottoms out.

[BlackElantraGT]

Originally Posted by Len_A

And I belong to the "I just got my last unemployment check and now I have to dip into my IRA" club

If it makes you feel any better, I was part of that club too (except I depleted, not just dipped into, my 401k). Now I've graduated to the "I have a stubborn, defiant, elderly parent that needs 24/7 constant care and how the heck am I even going to get back in the workforce when I have all these responsibilities that needs to be taken care of at home."

[NSXTASY]

3.50/gallon milk further pushes me to drink Organic.

Oil/Gas, well......My civic gets 35 city/47 Highway...Gas could be 4.50/gallon I could care less.

[jetset4me]

This is from a Chevron dealer:
Politicians (primarily but not exclusively left-wing Democrats) and environmentalist wackos have destroyed the free market in motor fuels in the United States and as a result have severely restricted supplies. Diesel cars and trucks have gotten a lot more popular in recent years as result of escalating fuel prices because they get better mileage. In a free market oil companies would respond by building additional refineries to produce diesel fuel. In America today, it is absolutely impossible to acquire all the permits necessary to build a motor fuel refinery (unless its ethanol). There have been no new refineries built in United States of America that produce either diesel fuel or gasoline in the last 30 years. We are now in a situation where, in addition to importing almost two thirds of the oil necessary to keep this country running, we currently import 13% of the refined gasoline and diesel that this nation consumes every day.

Diesel consumption is rising faster than gasoline consumption. Our refineries are maxed out and we are now relying on foreign countrys'refineries to keep up with our demand. As long as we keep electing Democrats who keep appointing left wing judges willing to block or stop construction of new refineries because environmental groups file endless requests for environmental impact studies, we will never again build new refineries, nuclear or conventional power plants, or the updated power grids that this nation desperately needs
to replace the half-century old antique grid that currently delivers electricity to all of our homes.

You think diesel is expensive today? You ain't seen nothing yet! After four years of an Obama or Clinton presidency, you will long for the days when your electricity bills, water bills, and motor fuel prices were what they are today."

After reading this I'd like to have a glass of milk but I'm out and I have to drive to get it. You just can't win.