Friday, May 12, 2006
Oil & Gas - The price of oil, gas & ignorance
Putting the price of gas in proper perspective...
In the Pittsburgh Tribune-Review, Colin McNickle discusses the issue:
"So what? Indeed, as world demand for gasoline has soared so, quite naturally, have sales. Increased demand increases prices. It's elementary."
"And when you divide profits by sales, as the Cato Institute's Jerry Taylor and Pete Van Doren did for the last quarter of 2005 -- the profit margin hardly is excessive. 'The 20 largest investor-owned oil companies earned a collective 8.8 cents on every dollar of sales for that quarter,' they concluded."
