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Why Gas in the U.S. Is So Cheap
by Steve Hargreaves
Friday, May 2, 2008
provided by CNNMoney.com

Relatively low taxes have kept pump prices far below most other developed nations, which some say is precisely why the current runup is so painful.

Despite daily headlines bemoaning record gas prices, the U.S. is actually one of the cheaper places to fill up in the world.

Out of 155 countries surveyed, U.S. gas prices were the 45th cheapest, according to a recent study from AIRINC, a research firm that tracks cost of living data.

The difference is staggering. As of late March, U.S. gas prices averaged $3.45 a gallon. That compares to over $8 a gallon across much of Europe.

The U.S. has always fought to keep gas prices low, and the current debate among presidential candidates on how to keep them that way has been fierce.

But those cheap gas prices - which Americans have gotten used to - mean they feel price spikes like the ones we're experiencing now more acutely than citizens from other nations which have had historically more expensive fuel.

Cheap gas prices have also lulled Americans into a cycle of buying bigger cars and bigger houses further away from their work - leaving them more exposed to rising prices, some experts say.

Continues: http://finance.yahoo.com/family-home/article/104996/Why-Gas-in-the-U.S.-Is-So-Cheap
 

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Well it's a culture built around the automobile, and is ultimately unsustainable.

btw here in Canada we're paying around 1.25/liter for gas, in comparison you guys are in the US are paying around .90/liter. I can't remember the last time gas was that "cheap" here...
 

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Well it's a culture built around the automobile, and is ultimately unsustainable.

btw here in Canada we're paying around 1.25/liter for gas, in comparison you guys are in the US are paying around .90/liter. I can't remember the last time gas was that "cheap" here...
Our "transport culture" in Australia is between the US and Europe. Huge Houses in the new Suburbs but a lot more public transport than the US in the inner city.
 

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I absolutely love that people are infatuated with countries that pay significantly higher taxes, as if that's something to be proud of. I will gladly accept lower taxes with a much more limited welfare state, where I get to be more of an influence on how my money is spent.

Just like a wide variety of problems our nation faces, the solution to higher gasoline prices is not more taxes. Throwing money at a problem is not always the best way to deal with it.
 

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our gas prices aren't increasing because of taxes, in other countries that tax goes towards public healthcare and such, we are just getting gouged by the oil companies and investors who are making a quick buck on everyone else
 

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The first gas station that you see, when you drive 2 blocks out of Canada, into the USA advertises on th street $.99.4cents/liter, It is $1,35.9/ liter at the last (Canadian gas station) you pass before entering the USA
 

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Article said:
Comparing gas prices across nations is always difficult. For starters, the AIRINC numbers don't take into account different salaries in different countries, or the different exchange rates.
Well at least they say that this is a pointless article using worthless numbers. Relative fuel costs can truly be compared by looking at the percentage of net income spent on fuel costs. Only then will you know where the US ranks relative to other nations with our "cheap" gas.
 

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I absolutely love that people are infatuated with countries that pay significantly higher taxes, as if that's something to be proud of. I will gladly accept lower taxes with a much more limited welfare state, where I get to be more of an influence on how my money is spent.

Just like a wide variety of problems our nation faces, the solution to higher gasoline prices is not more taxes. Throwing money at a problem is not always the best way to deal with it.
It's an interesting point of view you have there. Stupid on the face of it, but a fascinating look at modern sociology in America none-the-less.

Arguably America has followed your view and not thrown any money to speak of at any of it's major problems (with the exception of Iraq and going after Bin Laden) and interestingly has not dealt with any of them. So it seems that not throwing money doesn't work either. But that's not true, it's not 'either', because in fact throwing money at a problem turns out to be exactly the best way to deal with it.

If you want a law past or squashed the best way to deal with it is to spend the most money you can on the most expensive lobbyists.

If you have a problem with cancer it turns out that spending money on the best hospitals and best doctors and treatments is actually the best solution.

If you want your average child to have the best career it turns out that throwing money at hiring the best tutors and sending them to the best most expensive schools actually does greatly assist their careers and indeed social life and even marriage prospects.

And if you have trouble with the law it turns out that going court appointed public defender isn't the best solution. Funnily enough throwing cash at the best lawyers and law firms in town, or the state or the country actually dramatically aids in solving your legal problems.

Go figure......

Must be that throwing money at solving problems only works for rich people.

But it's best if poor people realise that throwing money at their problems is just a waste of taxpayer’s dollars.





;)
 

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I absolutely love that people are infatuated with countries that pay significantly higher taxes, as if that's something to be proud of. I will gladly accept lower taxes with a much more limited welfare state, where I get to be more of an influence on how my money is spent.

Just like a wide variety of problems our nation faces, the solution to higher gasoline prices is not more taxes. Throwing money at a problem is not always the best way to deal with it.
Amen to that!
 

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It's an interesting point of view you have there. Stupid on the face of it, but a fascinating look at modern sociology in America none-the-less.

Arguably America has followed your view and not thrown any money to speak of at any of it's major problems (with the exception of Iraq and going after Bin Laden) and interestingly has not dealt with any of them. So it seems that not throwing money doesn't work either. But that's not true, it's not 'either', because in fact throwing money at a problem turns out to be exactly the best way to deal with it...
We can agree to disagree, MonaroSS, and your argument can diminish to name calling and such, which only speaks to the weakness of your argument, actually. I've read your posts before, and I think you're more capable. Or at least I thought you were.

Certainly, the US makes mistakes. Certainly there are problems to be solved: healthcare and primary and secondary education reflect that quite readily. I don't think, though, that throwing money at the problem is the solution. We spend more on our healthcare than anyone else. We spend more on education than any other nation. Clearly, it's not the money that's the issue. It's the way in which it is spent.

You are flat out wrong on several suppositions you mentioned. It sounds like you sound-bite your references, you buy into fiction. There have been a series of quite interesting studies out of the Mayo Clinic and the Dartmouth Hitch**** Medical Center that suggest more money spent on healthcare does not equate to better outcomes. I know you've read those, so I'm curious about why you would make a completely fallacious claim about healthcare outcomes like you did. The fact that we spend the most of any country on a per capita basis for healthcare yet we have higher infant mortality rates, we have higher rates of obesity, and we have a variety of other outcomes that place us close to developing nations suggest that throwing money at the problem is not the solution. That's a welfare state person's solution to a problem. There's a way to spend the dollars smarter and have top-notch outcomes. Again, look at the way Mayo manages its healthcare dollars.

And my own story suggests that you certainly don't need to go to the most expensive schools in the country to do well, however that might be defined. I'm not even sure where you got the tutor comment. My family couldn't afford one when I was growing up. Many of the millionaires in this country-if you actually take the time to read periodicals about them-are only one to two generations from being poor immigrants. These families took advantage of promise, and they did well.

The US definitely has its problems, and I readily point that out. I think there are different ways to solve the problem while simultaneously ensuring that the government interferes as little as possible. Some people like a nanny state. I do not. Some people need other people to make decisions for them. I do not. Some people enjoy being stifled by their governmnet. I do not.

There are benefits to living in a society where failure and suffering come to a minority at the expense of success and freedom for the many.

I live in the most generous nation on the planet-many studies support the charitable nature of the US both in real dollars and time spent helping others. And that's because people are free to do so. My guess is that I spend far more time donating my time and I give far more dollar-wise than you do. That's in part because I am free to do so.

I live in the most innovative nation on the planet. You can measure that directly through patents applied for, or you can see that indirectly through the ways in which other nations emulate parts of our nation, our post-secondary education is a clear example. When I was in professional school, there were a host of folks from Germany, China and India who followed my class around for four years to learn how my school approaches problem-based learning. We didn't go overseas, and they certainly didn't go to a nanny state.

I live in a nation that attracts by far the most legal immigrants on the planet. If our State offers less hand-outs, certainly there's something else attracting them. I think that that's the promise of success on each person's own terms and defined by those people. It's why I like living here. Again, some people need nanny states to coddle them, some people need someone to hold their hand throughout life. I don't want it, I don't need it. It's why I am far more successful than most people on the planet. I am in charge of my destiny.

Throwing money at a problem is an unimaginative solution to a problem.
 

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I absolutely love that people are infatuated with countries that pay significantly higher taxes, as if that's something to be proud of. I will gladly accept lower taxes with a much more limited welfare state, where I get to be more of an influence on how my money is spent.

Just like a wide variety of problems our nation faces, the solution to higher gasoline prices is not more taxes. Throwing money at a problem is not always the best way to deal with it.
Thank you! Not only are people pointing to countries that pay higher taxes as something to be proud of, but as something to aspire to! WE ARE NOT EUROPE!! WE ARE AMERICA!! If you want to be like Europe, MOVE THERE!! The only thing I would disagree with you on is your last statement, I would modify it to Throwing money at a problem is NEVER the best way to deal with it! ;)
 

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So I'm suppose to feel better about this? Let me see.. Hmmm. If we were allowed by the green wackos to drill for our own oil in ANWR, off the coast of California, Florida, Gulf of Mexico, etc. and ourselves becoming an oil producing country, of which we HAVE. Maybe our prices would be like these.

Venezuela - $0.17
Kuwait - $0.89
Iran - $0.33
Saudia Arabia - $0.45
Egypt - $0.86
Dubai - $1.09

And you know that if we had gotten off our asses in 1973, when the first oil embargo hit us and adopted a energy policy that was treated as a national security issue, today might have been another story.
 

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It's an interesting point of view you have there. Stupid on the face of it, but a fascinating look at modern sociology in America none-the-less.

Arguably America has followed your view and not thrown any money to speak of at any of it's major problems (with the exception of Iraq and going after Bin Laden) and interestingly has not dealt with any of them. So it seems that not throwing money doesn't work either. But that's not true, it's not 'either', because in fact throwing money at a problem turns out to be exactly the best way to deal with it.

If you want a law past or squashed the best way to deal with it is to spend the most money you can on the most expensive lobbyists.

If you have a problem with cancer it turns out that spending money on the best hospitals and best doctors and treatments is actually the best solution.

If you want your average child to have the best career it turns out that throwing money at hiring the best tutors and sending them to the best most expensive schools actually does greatly assist their careers and indeed social life and even marriage prospects.

And if you have trouble with the law it turns out that going court appointed public defender isn't the best solution. Funnily enough throwing cash at the best lawyers and law firms in town, or the state or the country actually dramatically aids in solving your legal problems.

Go figure......

Must be that throwing money at solving problems only works for rich people.

But it's best if poor people realise that throwing money at their problems is just a waste of taxpayer’s dollars.





;)
Throwing money is not the solution especially where government in involved. All your examples show private citizens, doing something based on the needs they have, using their own money to do it. Throw the government in the mix, and all of a sudden you have waste, corruption, greed and competing interests. And why isn't the public defender the best solution (hint: provided by the government?!). Why does the healthcare at a VA Hospital often receive bad press (see hint above). Which schools are usually considered the best places of learning (threw you a curveball here as this one is the opposite of the hint).

And the commodore and falcon still look like old cavaliers.
 

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MonaroSS.... brace yourself for some of the most unintelligent, unfounded responses you've ever encountered.
 

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Cheap gas prices have also lulled Americans into a cycle of buying bigger cars and bigger houses further away from their work - leaving them more exposed to rising prices, some experts say.
Yep, Americans that complain about gas are the ones that live 20+ miles from work and drive 5000 pound SUV's and CUV's. But among the list of developed countries, the U.S. is probably that farthest away from Socialism, meaning low taxes and the government doesn't stick their heads into every industry, such as health and utilities. Plus, Americans are used to getting their whole paycheck and spending the entire thing and then some. So besides the low taxes, the American culture of spending has made the spike in fuel, bite. But in all honesty, I am currently getting about 10% better mileage this spring than I was a month ago in the winter, so the higher prices really aren't affecting me.
 

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I work and live at home. Gas prices don't affect me much. I have an 08 HHR and a V-8 powered SUV from a not to be named company. I'm planning to get a Yukon Denali XL just to make the greenies mad.
 

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It's an interesting point of view you have there. Stupid on the face of it, but a fascinating look at modern sociology in America none-the-less.

Arguably America has followed your view and not thrown any money to speak of at any of it's major problems (with the exception of Iraq and going after Bin Laden) and interestingly has not dealt with any of them. So it seems that not throwing money doesn't work either. But that's not true, it's not 'either', because in fact throwing money at a problem turns out to be exactly the best way to deal with it.

If you want a law past or squashed the best way to deal with it is to spend the most money you can on the most expensive lobbyists.

If you have a problem with cancer it turns out that spending money on the best hospitals and best doctors and treatments is actually the best solution.

If you want your average child to have the best career it turns out that throwing money at hiring the best tutors and sending them to the best most expensive schools actually does greatly assist their careers and indeed social life and even marriage prospects.

And if you have trouble with the law it turns out that going court appointed public defender isn't the best solution. Funnily enough throwing cash at the best lawyers and law firms in town, or the state or the country actually dramatically aids in solving your legal problems.

Go figure......

Must be that throwing money at solving problems only works for rich people.

But it's best if poor people realise that throwing money at their problems is just a waste of taxpayer’s dollars.





;)
Should've looked more closely at tgagneguam's post before typing that much...

Throwing money at a problem is not always the best way to deal with it.
[underlined part by myself]

The way he has written it clearly (to me at least) shows that he considers that throwing money at a problem is a solution that USUALLY works. That's why he's specifying that is doesn't ALWAYS work, i.e. money will not automatically solve any problem.

Reading your post, it seems you even agree with him. See:

MonaroSS said:
If you want your average child to have the best career it turns out that throwing money at hiring the best tutors and sending them to the best most expensive schools actually does greatly assist their careers and indeed social life and even marriage prospects.
You said "does greatly assist".

Which means you're fully aware that throwing gobs of money at your child's education... does not automatically mean you child will have a successful life. That's exactly tgagneguam's point as I understood it.
 

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MonaroSS.... brace yourself for some of the most unintelligent, unfounded responses you've ever encountered.
Starting with that ^^.

This is about gas prices in the US-America nation.

For those who have such utter contempt for the people here at GMI, why do you even stick around?

Most of us have formed our opinions regarding the thinking ability, maturity, hatefulness, and name-calling propensities of the assorted 10-year-olds at GMI.

1. A culture built around the automobile IS sustainable. We've only had this culture for 100 years. That's like saying because there were record heat waves for three years we are in a period of warming.

2. Indeed throwing gubmit--aka extracted-from-citizens--money tends to make most problems worse. Look no further than the "Education Bill," No Chirruns Left Beehind. Train to the test, control from afar, more and more money spent for schooling that doesn't teach critical thinking. Seriously, is there anyone here who thinks Ted Kennedy and GW Bush are the best qualified to design an education system?

3. Folks forget freedom. Higher taxes=more controls from a less-responsive government. Perhaps you were taught in an NEA-formatted school, which would explain a lack of understanding of the role of government in a free society.
The more power government takes, the more it wants. The more it wants, the more it takes. That is a natural progression which our Founders well understood, and guarded against to the best of their ability.
Eventually you end up with laws that allow/encourage (think more money) uncontrolled government to trample the constitution with hundreds of petty laws violating due process, presumption of innocence, property, free speech, and self defense rights.
If that's what you like, move to the peoples democratic republic of california/taxachusetts or better yet Cuber, Chiner, Russia, Formerly Great Britain...the list is virtually inexhaustable.
Government is people, and people are corruptible. Greed, power, envy, sloth, control...not everyone seeking positions of power is there because of their benevolent desire to enhance freedom and the human condition.

4. Do not confuse "free" with freedom.

So I'll take relatively cheap gas. Naming off Kuwait and Saudi Arabia as paragons of whatever one might think they're paragons of is your right in a free country.
Try moving there, getting a job, establishing a career, practicing your religion, speaking as freely as you do here, and becoming a citizen.
 

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Well at least they say that this is a pointless article using worthless numbers. Relative fuel costs can truly be compared by looking at the percentage of net income spent on fuel costs. Only then will you know where the US ranks relative to other nations with our "cheap" gas.
Feel free to run the numbers and post them here.
 

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if gasoline had gone up with inflation along with every thing else it would be $3.00+ a gallon not even allowing for the increases in gasoline taxes along the way.
 
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