Something terribly illogical, fraudulent, or unnatural seem to, or must be, going on with the prices of gasoline & related MV fuels in the DR. I'm lost! By way of explanation:
* the international price of petroleum is approx $76 / barrel at the present time [13jul06];
* The USA buys petroleum on the international markets;
* this results in a USA price of approx $3.00 / gallon for regular gas, rounding off; this includes all USA state & fedeal taxes; the price of gasoline in the USA is set by the sellers, huge oil companies; it is not set by the US Gov't;
* Venezuela & Hugo Chavez sell petroleum to the DR for less than the market price; how much less? I don't know. Does anyone?
* Regular gas in the DR sells for approx US $4.25 / gallon, rounded off, including all national taxes; I don't think that there are any provincial or local taxes [?]; the price is the same throughout the DR, established & changed by the DR federal government;
* If the DR is buying or receiving petroleum at lower prices that the USA is paying, how can gasoline cost 42% more [$4.25 vs. $3.00] in the DR than in the USA.
* Has the law of supply & demand been revoked in the DR? Is the DR government accepting Chavez' generosity to benefit the government & related speical interests, instead of letting consumers enjoy Chavez' generosity? Is the DR gov't adding $1.25 / gallon in additional taxes? I'm lost! Can anone enlighten me? With specific info & nunbers? Thank you.
* the international price of petroleum is approx $76 / barrel at the present time [13jul06];
* The USA buys petroleum on the international markets;
* this results in a USA price of approx $3.00 / gallon for regular gas, rounding off; this includes all USA state & fedeal taxes; the price of gasoline in the USA is set by the sellers, huge oil companies; it is not set by the US Gov't;
* Venezuela & Hugo Chavez sell petroleum to the DR for less than the market price; how much less? I don't know. Does anyone?
* Regular gas in the DR sells for approx US $4.25 / gallon, rounded off, including all national taxes; I don't think that there are any provincial or local taxes [?]; the price is the same throughout the DR, established & changed by the DR federal government;
* If the DR is buying or receiving petroleum at lower prices that the USA is paying, how can gasoline cost 42% more [$4.25 vs. $3.00] in the DR than in the USA.
* Has the law of supply & demand been revoked in the DR? Is the DR government accepting Chavez' generosity to benefit the government & related speical interests, instead of letting consumers enjoy Chavez' generosity? Is the DR gov't adding $1.25 / gallon in additional taxes? I'm lost! Can anone enlighten me? With specific info & nunbers? Thank you.