Declare Your Independence
Tuesday, August 19, 2003
Governor Napolitano has claimed tanker trucks are designated for the purpose of supplying gasoline to government vehicles. I have to wonder if the government tankers will cut in line at the storage facility :)
Given the choice of cruising the streets in search of traffic violations or conserving fuel in order to respond to emergency situations may be responsible for quite a loss in revenue for the government.... assuming they are more concerned with public service.
PHOENIX GAS SHORTAGE - email from a listener:
"1) The breakage occurred between Tucson and Phoenix. Which means
Tucson shouldn't be having the high prices, except that the demand from
Phoenix increases the price. (Would you rather sell your gas in Tucson
or would you pump it an additional 110 miles and sell it in Phoenix,
where they are ready to pay 75¢ more per gallon?)
2) The hold up is them having to get tanker trucks supplied with the
Ethanol supplemented gasoline.
3) This is a government created shortage. a) The requirement for
Oxygenated fuel. b) The craven compliance of our Governor under
pressure [she is more terrified of the EPA than of her voters]. c) The
unyielding feds who won't temporarily drop their rules in a temporary
shortage situation caused by accident. These all act to make a few days
shortage become a several month shortage.
This is a pretty good link:
http://www.azcentral.com/arizonarepublic/business/articles/0818pipeline18.html
One of my news e-mailings had an article in which the governor promised
some constituents she had a plan to take care of this shortage. And
apparently threw a fit when she ordered the National Guard Commandant to
send all of his gas tankers to Tucson, and start making gas deliveries
to Phoenix, only to be told, "sorry, they've all been shipped to Iraq to
help out the invasion."
PS: I went to the corner gas station at 5:30, and the lines were 10
friging cars long well out into the street! !!!! All SUVs :-) I've
got at least ten days of fuel left, so I'm not in too much of a panic.
But if the supply doesn't start to ease up soon, you are going to see
politicians squealing and pointing finders. This is the sort of thing
that people remember for a while: The lines, the heat, the time spent,
the cost.
Ernie says:
I went out at midnight last night to a local QuikTrip with over 20 pumps that had just gotten gas less than 30 minutes before, so there was no line. I called my wife and daughter to bring our other two cars and all of the gas cans that we had (we're good for at least 7-10 days). Price paid?.... $1.89/gal..
In one direction less than a mile away from my QuikTrip was a four-pump station with a line over 2-3 hours long. In the other direction was a station with plenty of customers but no lines... price, $3.99 (good for them - it's a free-market thing :)
I agree with the listener. This is a government created shortage. And I'd like to go on record with the following observations:
- The owners of the pipeline were given permission to open the repaired pipeline but they refused in order to do some pressure testing. Now if the government were to relieve them of liability then they would be more likely to open it up. Watch out! This is exactly how you get irresponsible behavior.
- Price gouging is “GOOD�. The free-market creates alternatives. If prices stay high then alternatives are far more attractive and will get a stronger foothold in the economy. The oil companies know this and have an interest in staying the number one choice.
- A new pipeline to replace the 50-year-old one isn’t going to be free to build so expect this as an excuse for higher prices. Even if the higher prices can’t be fully justified by this expense…. So what. Nobody is forcing you to drive J
“Anti-Gouging laws� is the worst thing that government can do. This “nanny state� action takes us out of a free-market. The free-market creates unique solutions to any problem with the promise of profit and provides incentive for consumers to avoid future pain by planning, invention, innovation and thrift.
Monday, August 18, 2003
