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Old 12-07-2008, 05:14 AM   #16
UserRemoved1
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btw, I'm not positive on this but the reason I made a comment on gas not being able to go down is that I believe there is a minimum gas tax in most states plus a percentage that is based on the Consumer Price Index. I know Maine has a state law that automatically raises the fuel tax every July based on the CPI percentage.

If the wholesale price of gas is around $1 a gallon right now and drops to say .50/gallon then it's still going to be over $1 a gallon no matter what. You got the fuel taxes and then you got the distributor markup then the gas station markup too. So if right now it's $1 a gal wholesale and the street price is $1.65 then there's roughly .50 a gallon fuel tax in there and the dealers are making squat. .15 a gal right now. That's scary....
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