2008 Woodie Awards
Driven to Distraction By Gas-Fueled Greed
High gas prices equal less for you, much more for them.
Will Reyes
Issue date: 10/12/05 Section: Opinion
|
Gas prices remain at record-highs across the country after rising in many states due to the damage caused by hurricanes Katrina and Rita.
According to Reuters, U.S. prices reached an all-time peak average of more than $3 a gallon.
So who loses when gas prices soar?
You do.
Drivers all across the country are feeling the effects of the high cost of gasoline, forcing them to drive less, seek out public transportation, bicycles and even cut costs in other areas.
A recent CNN/Money article took a look at how Americans are adapting, and the ways in which entire families are affected in work, school and home.
"I have started making my children ride the school bus, which they hadn't done before," said one mother affected by the prices. "I also cut back on groceries and my children carry snacks to school instead of buying from the snack bar. Even after these measures, I am still putting gas on the credit card."
Despite the similar efforts of people across the country, many are left struggling with their budgets.
Valley College students, many of who have long commutes to and from school, are also feeling the financial squeeze.
"These prices are crazy," said liberal arts major Roberto Guidel. "I spend $60 to $80 a week on gas coming to school."
The high prices even caused one student to change cars.
"I used to drive a Ford Explorer and spend $70 a week on gas," said business major Steven Ruiz. "Now I drive a smaller Toyota Corolla to save money."
There must be a good reason for the high prices.
Gas giants like Exxon and others must be in financial despair and feel forced to charge more, right?
Well, a 2005 BBC article stated that Exxon Mobil saw a profit of $25 billion in 2004, and had a record fourth quarter profit of $8.4 billion.
Not exactly music to Americans' ears, unless you happen to hold stock in Exxon.
Why don't the companies lower the prices if they are seeing record profits?
"These profits probably appear gross, and consumers wonder why they're not lowering the prices," said Mark Baxter, a director of an energy institute at Southern Methodist University, in the Seattle Times. "They could do that, but the first time they did, the CEO would get fired."
With CNN/Money also reporting that bicycle sales will likely reach a near record 20 million units sold this year, and a nearly 3 percent drop in U.S. fuel demand over the past month, maybe its time Americans show the companies that they won't be taken advantage of and find alternative means.
As the same oil companies that are seeing these record profits receive billions of dollars in tax breaks thanks to the recently passed energy bill from Dick Cheney and his energy empire's inner circle, it seems the only ones suffering are us. Sadly, this isn't a TV show prank, it's the truth.
