In the face of rising prices
In high school physics, there were demonstrations of Newtonian physics. In part, an attempt to explain why a rocket might actually climb up, or move in space, but the base of the argument was that pushing something in one direction would cause that object to move, in a direct relation with the force applied. There were formulae and everything; science. Canadian economics is not a science.
A hurricane came ashore in Texas overnight. Due to the shutdowns at various refineries and other parts of the petroleum infrastructure, prices have been rising in the old “supply and demand” thing. The President has stepped in, promising to monitor the rise of pump prices, where there has been an upward pressure, as much as 20 cents per US gallon. That calculates out to around 6 cents a litre. The president has stepped in…
Last evening, the price of gasoline jumped 14 cents a litre, to $1.45 locally. I know we have some (barely disguised) taxes applied, but do you see a dichotomy here? Our president prime minister is out of sight and out of mind. We simply dig a little deeper. After all, this is a petroleum producing nation. Prices must rise when something happens to infrastructure, or the “supply and demand” model is pushed.
Pardon my confusion; is there a reason why our price increase is roughly 200 % higher than our neighbours, and they don’t even import from us. Nor we from them. Where is our government in times of obvious price gouging? On the Island, the IRAC has provided warning that prices will rise by 9 cents, sometime next week. Meanwhile, we’ve had an increase that keeps us ten cents beyond where the Island is going to be, sometime in the future. With a refinery in the greater metropolitain area, shouldn’t we be just a little more protected than that from the “supply and demand” model? It’s not even windy here today.
