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Friday, May 25, 2007

Suppliers(retail) want in on the Gas Out now....

The ridiculous just became the absurd:

Noting that the demand-side gas out did not work on May 15, some retailers thought maybe they could 'help' motorists. At least one gas station manager shut off his pumps.

And, as if we needed more evidence that even business owners don't understand supply and demand, one said,
"So I just thought: What can I do to help the consumer?"
Yeah, that's it, I'm sure it had nothing to do with the free national publicity of his station and about how caring he is about the plight of consumers....

Obviously one, or a handful of gas owners doing this would have no overall effect. But even if many retail suppliers started doing this (which for the same reasons the original gas out didn't work, is impossible) --- DEMAND IS NOT SUPPLY --- all that would happen is the supply pipeline to consumers via the retail outlet would be temporarily cut off in many places, leading to INCREASED prices, NOT decreased prices.

So thanks for the help, but then again, no thanks!

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