Question by casey: If people start driving less and conserve gas, will gas companies cut production even more to drive up prices?
I know people who work at refineries and no, production is not full throttle as some would like for you to believe. There is little to no competition among oil companies, if you look at the difference in price at the pumps it is only a cent or two. What did congress find the other day when they questioned the oil companies? Are we being seriously screwed?
Answer by Scott H
Bingo! They will manipulate the supply by cutting production until it balances with demand. Prices will remain at or near what they are now. The oil companies are not going to lose money and see their stock prices tank.
What do you think? Answer below!
- Q&A: Why are some companies listed twice on the stock ticker with different prices?
- Where can I find historical stock prices for companies that no longer exist?
- Q&A: Did insurance companies just start denying claims of sick people?
- Q&A: Where do flight booking companies get their prices?
- In China do people join BPO companies from banks, insurance companies, retail companies, logistics, etc.?