Oil versus Gasoline

Discussion in 'Economy' started by Working Man, Nov 12, 2007.

  1. Working Man
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    Working Man Member

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    Penzoil is on sale for $2.00 qt. Four quarts make a gallon so motor oil is $8.oo/gallon, or more.. Now,, gas has more additives in it, maybe they are similar... But it still isn't up to $4.oo yet.. But, gas has lots of taxes on it, plus more processing, so that means, to me, that motor oil is vastly overpriced. Granted, there are shipping issues and containers,, so..

    shouldn't motor oil still only be around a buck a quart?
     
  2. Alpha1
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    Alpha1 NAVY

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    Try synthetic motor oil...its $6 to $8 a qt.
    That should make you be damn grateful real oil is relatively CHEAP.....or fill up Canada....about 3.80 US a gal.
     
  3. Kid Pickle
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    Kid Pickle KindOfABigDealAroundHere

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    Motor oil is produced in reletively small quantities for a specific, limited purpose with limited demand and limited competition, thus it is more expensive. Gasoline is produced in massive quantities for mass use and mass demand with lots of competition which drives the price down.
     
  4. Kid Pickle
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    Kid Pickle KindOfABigDealAroundHere

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    On that note, I think of the price of milk vs. gasoline

    Oil is sucked out of very deep in the ground in places very far away, loaded into trucks or railcars, loaded onto tankers which sail over vast amounts of ocean to be loaded onto trucks or railcars to go to a refinery to be heated until it separates. The gasoline (and each of the vairious other products) is loaded again onto trucks and railcars to go to storage tanks. Then it is loaded onto trucks again and pumped into tanks to be pumped into your car. All for about 3 bucks a gallon.

    Milk is taken from the cow somewhere near where you live, separated into its various components, heated to kill the germs (as well as helpful enzymes, which is unfortunate), loaded onto trucks or railcars to the facilities which package it, and loaded onto trucks to the store where you buy it. All for about 4 bucks a gallon.

    Gasoline--what a bargain!!
     
  5. Working Man
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    Working Man Member

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    And the difference was the fuel taxes applied to gas, not motor oil. AS IT SHOULD BE.. One would think that motor oil should be less expensive per unit of measure.
     

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