Posted by MarkB_MI on March 18, 2012 at 08:23:22 from (166.203.31.208):
In Reply to: Who controls the gas? posted by workhorse on March 18, 2012 at 07:51:45:
Would you believe supply and demand?
Yes, there are speculators. Gasoline futures are sold on the New York Mercantile Exchange, and you too may play that game if you have the money and gumption to try. Speculators are an essential part of the commodities market; there needs to be somebody to take the other side of every trade, without speculators the commodities markets would be less stable. Sometime speculation does get out of hand, driving prices to unsustainable levels; when that happens, it's the speculators who get burned, as every bubble must burst.
If you have an alternative to commodities futures market as a way to stabilize fuel prices, I'd like to hear it. Are you perhaps suggesting government price controls?
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