LETTER: Who controls gas prices? It’s not the president, it’s all of us

To Ozaukee Press:

It’s popular in this country to blame the president for high gas prices. But no president of any party has any control over the price of gas. If they did, the price would be low all the time. It’s not, and that is the evidence of the powerlessness of any president over the price of gas.

The price correlates with the price of crude oil, which is determined by a market. Of course, producers like high prices, and in 1960 OPEC was formed to influence the price as much as possible.  But even OPEC can’t control it entirely, or it would be high all the time. It’s not. So, who controls the price? All of us. It’s simply a matter of worldwide supply and demand.

The overall price at the pump in the U.S. breaks down as follows:14% for transportation, 14% for refining, 16% for federal, state and local taxes and 56% for the crude oil. A barrel of crude oil contains 42 gallons and produces about 19 gallons of gasoline. One year ago, the price of crude was $60 a barrel. In March 2022, it peaked at $120 a barrel and is currently at $90 per barrel.

Gas prices are dropping. Should Biden get credit for the drop? No—he’s a president.

John S. Strauss

Campton Hills, Ill.

 

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Ozaukee Press

Wisconsin’s largest paid circulation community weekly newspaper. Serving Port Washington, Saukville, Grafton, Fredonia, Belgium, as well as Ozaukee County government. Locally owned and printed in Port Washington, Wisconsin.

125 E. Main St.
Port Washington, WI 53074
(262) 284-3494
 

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