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Why is it that in the city it goes up & down a lot in the big cities but up here in the Kawartha lakes area it seems to stay the same for several weeks at a time ?? I talk to people everyday that drive up from like Oshawa and the GTA and they say it goes up and down several times a week and it usually doesn't move much up here !! Just sayin that's a neat link thanks for sharing !!!

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I've posted many times on gas going up. It seems what they can get where they can get it.

For the past year I've been using COSTO exclusively and the are always 5-6 cents cheaper that all the others in the GTA. As long as this continues the others will NOT see another dime from me.

 

Let's not be stupid, at Weston Rd and Hwy. 7 there are 2 stations Petro and Esso and COSTCO two blocks away is always cheaper.

 

 

Does COSTO get its gas closer than the others? WE are being had . . .

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The price of gas at the pump is high for a whack of reasons, but there are two big ones staring us right in the face:

 

1. Gasoline is demand inelastic in the short term. If the price goes up 15 cents a litre for the next 3 months most of us are going to keep buying the same amount.

 

2. TAXES - in Ontario we pay somewhere in the neighbourhood of 36 cents/litre in taxes. When you consider the final price hovers around $1.20/litre that's a serious amount of tax.

 

I'm in Peterborough most weekends, so I try my best to fill up when I'm there. Gas is consistently 7-10 cents/litre cheaper than in the GTA and Guelph, where I spend the rest of the week.

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The way the price of a barrel climbs and falls makes me thing the war is squarely aimed at us. Anything over $ 00. 60 a litre doesn't make any sense to me.

It costs close to $40/barrel just to extract the raw stuff from Alberta's oil sands. Now add to the the cost to ship it to a refinery (often a US refiner) refine it into something useful, ship it back, put it on a truck, drive the truck to the gas station, fill up the tank and make sure everybody in between makes a buck or two.

 

Makes me wonder how it doesn't cost MORE than it does

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I'm far from being an economist. I work everyday to support my family, I don't spend more than I make . . . But our government takes the liberty of shipping our oil to other nations only to buy it back at higher price, does this make sense?

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I'm far from being an economist. I work everyday to support my family, I don't spend more than I make . . . But our government takes the liberty of shipping our oil to other nations only to buy it back at higher price, does this make sense?

Depends which kind of sense you're talking about. I'm also not sure its quite that cut and dry.

 

Does it make sense to you and I? Nope, not likely. This causes a higher price at the pump for Canadians and that sucks.

 

Does it make sense in the scope of international trade/economics?

 

Without getting into it (and I'm far from being an expert but I do understand the basics) in many ways yes it does. We don't at this point have the capacity to refine the amount of oil we produce, and the U.S is our largest customer when it comes to oil (and many other things).

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Doesn't help when Alberta is dumping oil sand crude into the states at $35-$40 because nobody wants it? What the hell? Then they mark it up as if we are paying market price. Why don't our refiners buy it for that and sell it to us at 60 cents a litre. Whole lot of bullcrap going on.

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Doesn't help when Alberta is dumping oil sand crude into the states at $35-$40 because nobody wants it? What the hell? Then they mark it up as if we are paying market price. Why don't our refiners buy it for that and sell it to us at 60 cents a litre. Whole lot of bullcrap going on.

If it made sense economically, we'd be doing it.

 

Oil refining is low margin, extraordinarily high capital cost, and super volatile. There's a reason we haven't built a refinery in a long time...

 

We ARE paying market price, plus lots of happy-fun taxes that were mentioned earlier. When you factor in the negative externalities of oil production/use we're actually paying less than what would be socially optimal.

 

It's easy to get annoyed at high gas prices, but compared to many places in the world I'll pay our price (and taxes) every time.

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If it made sense economically, we'd be doing it.

 

Oil refining is low margin, extraordinarily high capital cost, and super volatile. There's a reason we haven't built a refinery in a long time...

 

We ARE paying market price, plus lots of happy-fun taxes that were mentioned earlier. When you factor in the negative externalities of oil production/use we're actually paying less than what would be socially optimal.

 

It's easy to get annoyed at high gas prices, but compared to many places in the world I'll pay our price (and taxes) every time.

Jumping in here...

 

The only thing that bothers me about gas prices.... is they seem to come up with a reason for the price to spike. Hurricane Katrina sticks in my head..... Gas prices almost doubled at that time. But once everything was brought back online.... They only fell 20-30 cents ? Why ??

 

I dont know much about how the economics work... But it doesn't make sense to me.

 

ALSO.... I agree with you on having to pay our prices compared to the rest of the world.

My family in England pay close to $2.50 + / PER LITER !!!! When I was there 5 years ago, at the price it costs them .... It would have cost me over $150 to fill my Pontiac Grand Am ... Ill take $1.30 in that instance.

 

At the same time.... I can drive 20 minutes away, cross an imaginary line ( the Border ) and pay $.90-1.00 a liter.

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Jumping in here...

 

The only thing that bothers me about gas prices.... is they seem to come up with a reason for the price to spike. Hurricane Katrina sticks in my head..... Gas prices almost doubled at that time. But once everything was brought back online.... They only fell 20-30 cents ? Why ??

 

I dont know much about how the economics work... But it doesn't make sense to me.

 

ALSO.... I agree with you on having to pay our prices compared to the rest of the world.

My family in England pay close to $2.50 + / PER LITER !!!! When I was there 5 years ago, at the price it costs them .... It would have cost me over $150 to fill my Pontiac Grand Am ... Ill take $1.30 in that instance.

 

At the same time.... I can drive 20 minutes away, cross an imaginary line ( the Border ) and pay $.90-1.00 a liter.

 

The gas tax in NYS in ~$0.18/L, and we pay double that at around $0.36/L. Assuming the USD/CAD at par this accounts for a lot of the difference in price.

 

Today's price in Niagara, NY is on average about $3.90/gal or somewhere in the neighbourhood of $1.03/L.

 

In Guelph right now the price is $1.27/L - a $0.24 per litre difference.

 

By my math, that's only $0.06 difference that's not explained by the taxes.

 

Sure, it's not quite that simple but considering we pay more for almost everything here and we have much higher taxes it does make sense.

 

As for the volatile prices, well that's just plain annoying (and probably bordering on illegal)

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