Expecting a price hike this week
5 comments Monday, 11-17-08 | Posted By Ed Aboufadel | Predictions
Comment on last Tuesday’s prediction: So, in some places last Wednesday, prices rose to $2.09, but in other places, such as my benchmark stations along Lake Michigan Drive, they didn’t. The $2.09 didn’t last for long, either. So, I’m going to score my prediction 3/4 CORRECT, 1/4 WRONG.
Monday, November 17, 2008, 2:30 PM: You can buy a gallon of gas today in Sparta for $1.75 a gallon. It has been four years since that was possible. NYMEX prices have continued to drip lower with the stock market, so the easy prediction continues to be that prices will continue to go lower. However, my instincts say the financial markets — including NYMEX — are going to bounce here, so I’ll make the hard prediction and say we see a price hike before Friday, but it won’t be higher than $2.09, and it will probably be lower.
With the price now about 1/2 what it was several months ago, where did all the increase revenue the State got go?
If gas was $2 per gal, the State got .12 per gallon tax. When price went to $4 per gal, State got .24 per gallon. What did they do with the extra .24 per gallon. Can’t even imagine how much money this was. Why are they crying now, they got more than they planned before.
Sorry about the bad math. Should be the extra .12 per gallon. Can anyone tell me where it went?
we cant mention this winfall profit for the state. how dare you! The state is entitled to this money – hey we have to give incentives to businesses to locate here. Screw the ones we already forced out – they were bad anyway. the only employed 30,000 people and we need businesses that employ 3,000 people instead.
General Fund dude – and misappropriated as is the rest of our tax dollars.
Ray hit it head on.
Rudy,
With a gas tax per gallon it really does not matter what the price per gallon is. It is what it is. Where Michigan got the extra money was the 6% sales tax. With totals being $75 – $100 per fill up, thats where the state of Michigan picked up the extra $$$.