"Roberto C. Sanchez" <[EMAIL PROTECTED]> writes: > Matthias Julius wrote: >>> >>>- they are selling more than before >>>- it is costing *more* to get the oil out of the ground >> >> >> I doubt this cost has gone up 50% in the last year. >> > So what? It is a free market. If there is more demand, then they can > charge more. Ever try to get a hotel room in a city while the Olympic > Games were in town? They are *ultra* expensive. Should congress > investigate Atlanta and Salt Lake City for allowing that to happen? NO! > Keep the supply fixed and increase the demand -> higher prices. I am > stunned that so few people understand this.
I understand. I was just replying to your statement above. > >> >>>- we give them tax breaks because we want the companies to keep as much >>>of their business within our borders as possible >> >> >> One could also penalize the import of foreign oil. >> > ??? > > It is obvious that you do not understand economics. Tarrifs benefit > *noone*, except for the entrenched local base. They hurt customers more > than anything else. Seriously, you complain about gas prices and then > say we should put an additional tax on foreign oil? Don't you think > that will raise proces. Yes they will. Unlike tax breaks that won't lower prices. They tend to get silently ignored by the sales people. >> Well, of course, a business is all about maximizing profits. This is >> the way it is and I don't want to condemn any company for trying do >> that (not even Microsoft). The question is whether they need special >> help for that. >> > That's true. I hate corporate welfare with passion. If the government > needs to give a company an incentive to operate here rather than > somewhere cheaper (i.e., a foreign country), then that is fine. But > tarrifs are a no go for me, as are unnecessary incentives. I think, here the reasons for wanting them to operate here are mostly not economical. But, that's fine. Matthias -- To UNSUBSCRIBE, email to [EMAIL PROTECTED] with a subject of "unsubscribe". Trouble? Contact [EMAIL PROTECTED]